A post on Friday explored the number one way immigrant families move up the economic ladder, i.e. the acquisition of real estate. And while minorities, and especially Latinos, were hit hard by the foreclosure crisis, a new crop of prospective home buyers is prepared to snap up low-priced properties, potentially driving the revival of the housing market.
AOL's Daily Finance reports today that "young Hispanic American families are poised to play an influential role in the housing recovery as first-time home buyers absorb excess inventory." From the piece:
More than any other demographic, Hispanic homeowners were slammed by the mortgage crisis. Nearly half of the all the foreclosures in California between September 2006 and October 2009 -- 48% -- were for Hispanic homeowners, according to National Association of Hispanic Real Estate Professionals. That contributed to a 66% decline in wealth for Hispanic households from 2005 to 2009, the largest drop among all racial and ethnic groups according to data from Pew Research.
But Latinos are also one of the fastest growing segments of the American population, especially in the states hardest hit by the housing bust -- California, Nevada, Arizona, Florida -- and the real estate industry anticipates that these young people will emerge as a key source of demand for housing, ultimately helping to lead the market and the economy out of its slump.
A recent University of Southern California study found that in California, where seniors 75 and older have been selling off their homes in large numbers, there is a "housing swap" occurring as more young Latinos enter the market.