The rate of homeownership among Hispanics increased slightly in 2017, a sign of enthusiasm for homeownership within the community, according to the State of Hispanic Homeownership Report released by the Hispanic Wealth Project in collaboration with the National Association of Hispanic Real Estate Professionals (NAHREP).
Despite external challenges, Hispanics posted gains in population, household formations, and workforce participation, which are key indicators attributed to increased homeownership attainment.
The report found that the Hispanic population increased by 1 million in 2017, accounting for 51% of total US population growth. The homeownership rate among Hispanics increased to 46.2% from 46%, representing a 167,000 net increase in new owner households. Additionally, the report said that 66.1% of adult Hispanics participated in the workforce, a higher rate compared to any other ethnic or racial demographic.
“We see from the report’s data the strong enthusiasm for homeownership within the Hispanic community,” NAHREP 2018 President Daisy Lopez-Cid said. “With a growing Hispanic population and the highest rate of workforce participation, Hispanics are expected to drive growth in the housing market for decades.”
In spite of the 2017 gains, Hispanic homeownership faced challenges from three major factors: a lack of housing inventory, natural disasters, and uncertain immigration policy. The report said, however, that the challenges pressuring Hispanic household formation are short-term and solvable.
The report forecasts Hispanic homeownership to grow in the foreseeable future given the segment’s influence on homeownership gains based on the long-term impact of their combined workforce, economic, and aspirational contributions.
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