Home >> Daily Dose >> Hispanic Homeownership and Homebuying Trends
Print This Post Print This Post

Hispanic Homeownership and Homebuying Trends

Housing Inventory

The 2018 State of Hispanic Ownership Report shows the number of Hispanics owning a home is on the rise, but so is how much they pay for them.

The report, which was compiled from statistics by the U.S. Census Bureau, states that 42.8% of Hispanic homebuyers are likely to have an FHA loan. In comparison, 79.4% of non-Hispanic homebuyers use conventional financing.

According to the report, Hispanics are also more likely to pay mortgage insurance premiums for the life of their FHA mortgage, which increases the monthly out-of-pocket expenses.

Hispanics are not only reportedly paying more for homes, but they are also occupying more of them, as homeownership rates increased to 47.1% in 2018 from 45.6% in 2015—a net gain of 362,000 homeowners.

Hispanics posted their largest homeownership gain in 13 years. The report states that despite concerns about housing inventory and changing government policies for homeownership, the leading indicators, such as household formation, income trends, age, and consumer sentiment, Hispanics will continue to drive homeownership gains in America for the foreseeable future.

Hispanics accounted for 62.7% of net U.S. homeownership gains over the past decade, growing from roughly 6.3 million homeowners to approximately 7.9 million. For the fourth consecutive year, Hispanics were the only ethnic demographic group to increase their homeownership.

The changing housing market correlates to the impact Hispanics are having to the population and the workforce.

The Hispanic population is 18.1 percent (58.9 million) of the overall U.S. population. By 2045, non-Hispanic Whites will shrink to 49.7% and will no longer be the majority population in the United States, according to the report. Hispanics represent 66.3% of the labor force population.

California’s 2018 Hispanic population of approximately 15.5 million was the highest in the nation. Texas’ reported Hispanic population of 11.2 million was second.

About Author: Mike Albanese

A graduate of the University of Alabama, Mike Albanese has worked for news publications since 2011 in Texas and Colorado. He has built a portfolio of more than 1,000 articles, covering city government, police and crime, business, sports, and is experienced in crafting engaging features and enterprise pieces. He spent time as the sports editor for the "Pilot Point Post-Signal," and has covered the DFW Metroplex for several years. He has also assisted with sports coverage and editing duties with the "Dallas Morning News" and "Denton Record-Chronicle" over the past several years.
x

Check Also

How Does Immigration Impact Home Prices?

While there has been much debate regarding immigration in the U.S., a new study suggests that immigrants may have a surprising influence on home values.

GET THE NEWS YOU NEED, WHEN YOU NEED IT.

With daily content from MReport, you’ll never miss another important headline in originations, lending, or servicing. Subscribe to MDaily to begin receiving a complimentary daily email containing the top mortgage news and market information.