One of the biggest symbols of becoming an American is owning a home, and many immigrants from minority communities had to accept a subprime loan to make that dream a reality. Now those loans are forcing many immigrants into foreclosure and financial ruin.

“Forty percent of Latino loans are subprime loans and a significant portion of these borrowers could have qualified for the prime, but were steered into the subprime market,” said Janis Bowdler, a senior policy analyst for housing for the National Council of La Raza.

“One in five Latinos will lose their homes to foreclosure,” Bowdler said. “Our homes are how we send our kids to college and pay for our retirement. This is very disconcerting not just for Latinos, but also for all groups that are in this situation.”

With close to 40,000 Hispanics in Baltimore City, 60,000 in Baltimore County, 150,000 in Montgomery County, 82,000 in Prince George’s County, 10,000 in Howard County, and 20,000 in Anne Arundel County, the impact of those foreclosures will hit Maryland’s economy hard.

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“There are a lot of scams around that are taking advantage of Hispanic people who can’t read, write or speak English,” said Nelson Ortega, director of Centro de la Comunidad in Baltimore City. “We have more than 6,000 clients, and of that number, 12 percent come to us seeking housing assistance.”

A 2006 study conducted by the National Community Reinvestment Coalition, the Opportunity Agenda and the Poverty and Race Research Action Council, found that lenders across the country steer immigrant applicants from minority neighborhoods to subprime loans despite the borrowers’ economic status or credit worthiness.

The report revealed that more than 8 percent of middle- and upper-income borrowers in white neighborhoods received a subprime mortgage, while 13.6 percent of borrowers in immigrant neighborhoods received a subprime mortgage. Women, regardless of ethnicity or race, received more than 32.1 percent of subprime mortgages, though they only account for 29 percent of the nation’s households.

“The report clearly outlines that regardless of how much money you make, if you are part of the traditionally underserved, then odds are you are receiving a high cost loan,” John Taylor, president and CEO of NCRC, said in a statement.

rchappelle@baltimoreexaminer.com