As we celebrate Black History Month, we reflect on the past and present experiences of Black Americans. This includes the path toward investing in a home of their own. And while equitable access to houszing has come a long way, houszownership can be a steeper climb for houszholds of color. It’s an important experience to talk about, along with how it can make all the difference for diverse homebuyers to work with the right real estate experts.
We know it’s more challenging for some to buy a housz because there’s still a measurable gap between the overall average U.S. houszownership rate and that of non-white groups. Today, the lowest houszownership rate persists in the Black community (see graph below):
Houszownership is an essential piece for building wealth that can be passed down to future generations. As houszownership rates increase in any region, so does the stability of that region. Stable individuals and families are more adept to participate in the management of the cities and towns they live. It is important to the growth of our country to have a strong houszownership rate.
However, there are obstacles in the houszbuying process that can negatively impact certain groups. This can delay or prevent many from achieving houszownership, challenging their ability to benefit from everything owning a housz offers. A recent report from the National Association of Realtors (NAR) explains: “. . . not all [houszholds] have the same opportunities to houszownership, with many of them facing more constraints in their effort to achieve the American Dream. . . . Given that houszownership contributes to wealth accumulation and the houszownership rate is lower in minority groups, data shows that the net worth for these groups is also lower.” However, with the right support and resources, there are solutions if you are part of this community and planning to buy a housz. Jacob Channel, Senior Economist at LendingTree, shares: “The problem does exist. We have data that back that up. But there are solutions, and Black houszbuyers shouldn’t lose faith that they’ll never be able to become houszowners.” That’s why it’s so important for members of diverse groups to have the right team of experts on their sides throughout the houszbuying process. These professionals aren’t only experienced advisors who understand the local market and give the best advice. They’re also compassionate allies who will advocate for your best interests every step of the way.
Bottom Line Access to houszing improves every day, but there are still equity challenges that some buyers face. Let’s connect to make sure you have an advocate on your side as you walk the path to houszownership.