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When it came to housing, segregation was enforced through racially restrictive covenants—binding legal obligations written into the deed of a property by the seller that barred African-Americans (and other minorities) from buying, leasing, or using it. The practice was common in both the southern and northern United States. Ironically, it was the National Housing Act of 1934—part of President Franklin D. Roosevelt’s New Deal—that established housing segregation throughout the country. The newly created Federal Housing Administration’s Underwriting Manual expressly identifies “an incompatible racial element” within neighborhoods as a liability and recommends that the social and racial structure of neighborhoods be maintained by restrictions on eligibility for mortgages. It wasn’t until the Fair Housing Act of 1968 that such practices were abandoned and housing segregation was definitively banned.

full: https://www.nybooks.com/articles/2018/09/27/cabrini-green-blues/
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