Hispanic Homeownership is on the Rise
“Hispanics are experiencing the largest homeownership gains of any ethnic group in the U.S., a turnaround for the population hardest hit by the housing bust that could help buoy the market for years, reports The Wall Street Journal.”
“The homeownership rate for Hispanics has increased more during the past several years than any race or ethnic group, including whites. The rate, which hit a 50-year low in 2015, has risen 3.3 percentage points since then, according to U.S. Census Bureau data.”
“The overall U.S. homeownership rate bottomed in the second quarter of 2016 and has grown 1.3 percentage points since then. For blacks, the homeownership rate has fallen to its lowest level on record in the first quarter of this year. This marks the first time in more than two decades that Hispanics and blacks, the two largest racial or ethnic minorities in the U.S., are no longer following the same path when it comes to owning homes.”
“While Hispanics make up 18% of the U.S. population, the group accounted for nearly 63% of new U.S. homeowner gains over the past decade, according to the National Association of Hispanic Real Estate Professionals. New homeowners include people buying first homes and those coming back into the market after a foreclosure.”
“The group’s homeownership has risen alongside gains in income and education and a growing familiarity with the U.S. mortgage market. The Latin community also has a large millennial population entering the age of homeownership.”
“Past slowdowns in homeownership have been driven by a lack of starter homes and prices that have risen out of reach of many young buyers in major cities, challenges that have hit the Hispanic community, which is concentrated in many of these places.”
“Down payments can also be a barrier to minority communities. A recent study by the Urban Institute found that 4.6 million Hispanic millennials earn enough to afford a home in their area but are blocked by a lack of down payment and inventory for sale. The Hispanic homeownership rate remains at 47.4%, well below the rate for non-Hispanic whites, which was over 73% in the first quarter.”
“Local and national lenders have courted a Hispanic clientele, who represent an appealing growth market as overall loan volume has slowed. Lenders have added Spanish-speaking loan officers and devoted additional resources to underwriting loans to borrowers who are self-employed or where multiple generations in a family are buying a home together.”
A lot of research and planning goes into buying a new home and, according to AudienceSCAN, within the last month, over half of First-Time Home Buyers used a search engine to research a product they were considering. While they’re online, they can also be targeted with digital ads. Last year, these shoppers took action after seeing ads on social networks and sponsored search ads, receiving email ads and either seeing an advertisement on their mobile smartphone apps or receiving an ad via text.
AudienceSCAN data is available for your applications and dashboards through the SalesFuel API. In addition, AdMall contains industry profiles on real estate agencts/agencies, as well as lead lists at the local level. Media companies, sales reps and agencies can access this data with a subscription to AdMall from SalesFuel.