Latinos Entering Housing Market, Applying for Mortgages in Record Numbers
Move over female home buyers - more and more Latinos are fulfilling the American Dream by purchasing property.
Between 1995 and 2005, the number of Latino owner-occupied homes increased by 3.1 million, reaching 6.9 million. That’s an 81% increase - compared to a 19% increase for all other non-Latino owner-occupied homes, according to the National Association for Hispanic Real Estate Professionals‘ website.
In the next 20 years, Latinos are expected to make up 40% of all first-time home buyers, according to the site.
“The Latino buyers for us has been a market that has been increasing,” said Henry Nunez, owner of Arcadia-based Henry Nunez Real Estate Co. “Immigrants - especially Hispanics - have a very strong desire to own their own properties.”
Latinos have made great economic strides, and coming to the United States and buying a home represents success, he said. Hence their desire to receive mortgage approval and take the next step.
“It’s part of the American dream,” he said. “That’s what it really is, part of the American dream.”
Moreover, as home sales slow, more real estate companies are catering to immigrants, Nunez added. Mortgage lenders have created specific loan programs to make it easier for immigrants to qualify for a loan..
The market slowdown has also resulted in more inventory.
“Buyers can take more time to make a decision in buying, so prices dropped a little bit,” he said. “It made the market more available to people. That’s why we have a focus on minority homeownership to promote that.”
When the market was hot, real estate agents would instantly receive offers for a new listing, said Jack Kyser, chief economist for the Los Angeles County Economic Development Corp.
“Now you have to work harder at it, and given that the Latino community is the largest ethnic community in Los Angeles County, it represents a rich market,” he said.
Owning a home is important because no one is dictating what your rent will be, said Marty Rodriguez, owner of Century 21 Marty Rodriguez in Glendora, California. For immigrants, the sense of freedom that a home loan allows for is extra special.
Half her staff is bilingual and they deal with a lot of Latino buyers, she said.
One belief her father instilled in her was “we’re Americans first before we’re anything,” she said. “We live in a great country that has so much to offer. That’s why people want to come here. They want to be Americans.”