The National Association of Hispanic Real Estate Professionals and the Hispanic Wealth Project announced that the Latinx community is on track to meet the Hispanic Wealth Projects goals, driven primarily by the recent historic levels of real estate acquisitions and equity gains.
According to NAHREP, Latinx household wealth increased from $15,150 to $36,050 between 2013-2019. The Latinx community’s homeownership rate stands just above 48 percent, with all signs pointing toward hitting HWP’s goal of 50 percent homeownership over the next five years.
With more than 600,000 home purchase transactions, the Latinx community saw a greater increase in home purchases between 2019-2020 than any other demographic, with a mortgage activity up 13 percent from the year prior and 24.5 percent from 2018.
NAHREP also notes that residential property values make up 52 percent of Latinx assets, driven by both homeownership and investment property ownership. Latinx homeowners have a net worth of $171,900—28 times that of Latino renters of $6,210.
“Latinos continue to lead entrepreneurial starts, labor force participation, and homeownership growth, outpacing that of other segments of the population. Our survey shows that significant knowledge gaps continue to inhibit Latinos from participating in non-cash financial investments including the stock market and retirement accounts,” said Gary Acosta, NAHREP CEO and Co-Founder.
Between 2016-2019, the Latinx community increased their ownership of investment properties by 33.1 percent, the highest increase of any demographic. Non-Hispanic White, Black and general population all decreased their rates of investment property ownership during that same time period.
For more on the homeownership findings, click here.