Home ownership rates in the U.S. may be on the decline, but not among Hispanic households, according to the State of Hispanic Home Ownership Report published by the Hispanic Wealth Project and the National Association of Hispanic Real Estate Professionals. Last year was the first time since 2009 that the Hispanic home ownership rate increased.
Hispanics in Housing
The Hispanic home ownership rate averaged 45.6 percent in 2015, just 0.2 percent higher than the year prior. But in just the 12 months ending December 2015, it soared from 44.5 percent to 46.7 percent — the largest one-year increase in more than a decade.
“The Hispanic home ownership numbers were very encouraging, and all leading indicators strongly suggest that the trend will continue,” says Joseph Nery, president of NAHREP. “Policy makers and the housing industry need to recognize that the face of home ownership in America has changed, and it is in everyone’s interest to ensure that these new consumers have access to relevant lending products, affordable housing stock, and culturally competent service providers in the coming years.”
Hispanics also led in workforce participation and household formation growth nationwide, according to the report, which notes that the real estate industry should expect Hispanics to be the primary driver of the overall home ownership rate for at least the next decade.
This report “should be required reading by everyone in housing, especially lenders and REALTORS®,” says David Stevens, president and CEO of the Mortgage Bankers Association. “The Latino community is massive, it’s ready to own, and it’s now. The significance of Hispanics to housing and the economy will only grow, creating opportunity for all who focus on this vibrant, dynamic, and impactful part of the U.S. economy.”