Latinx homeownership rates have continually increased since 2008, taking total homeownership up with it. Since the Great Recession, homeownership among Latinx Americans grew by 10.3% and total homeownership increased by 13.9%, according to Zillow. Out of the total US homeowner gains the past 10 years, Latinx Americans accounted for more than 60%. But there are large gaps remaining. While less than 10% of homes are in majority Latinx communities, nearly 20% of homes foreclosed on from 2007 to 2015 were in these communities. Zillow says this is due to gaps in household wealth. The majority of Latinx homeowner’s total wealth comes from the home.
In 2007, on the eve of the Great Recession, a home accounted for 73.1% of the typical Latinx homeowner’s total wealth — compared to 46.5% for the typical white homeowner.
Because their homes accounted for such a large share of their wealth, Latinx homeowners were more exposed to the foreclosure crisis as home values plummeted and unemployment rose. With fewer assets to draw on, it was harder for them to hold onto their homes if and when their homes fell into negative equity, if they lost a job and/or if they otherwise couldn’t make ends meet. By 2015, the Latinx homeownership rate was at its lowest level since 1998.
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