A growing share of Latino homebuyers are reworking the traditional path to homeownership, leaning on multigenerational financing strategies as affordability pressures persist, according to new data from BMO’s Real Financial Progress Index.
The report finds that while homeownership remains a core aspiration, the way many Latino borrowers plan to achieve it is shifting — away from individual purchasing and toward pooled family resources, a model BMO describes as the “familia mortgage.”
Among U.S. Latinos, 76% say owning a home is a life goal, but 57% believe it may be unattainable in their lifetime.
Multigenerational Financing
Nearly half (46%) of Latino homeowners say they would not have been able to purchase a home without financial support from family, compared to 38% of the general population.
That reliance is increasingly becoming a deliberate strategy rather than a fallback.
Instead of the traditional “starter home” model, many Latino borrowers are opting for what BMO calls a “forever familia home,” a long-term, multigenerational residence designed to house extended family and provide stability across generations.
- 67% expect their first home to be their last
- 59% of non-homeowners say buying a starter home and upgrading later “makes no sense”
The motivation is largely family-driven. About 51% of Latino respondents say purchasing a home is important to support parents or grandparents, rising to 71% among those already caring for both children and aging relatives.
Cultural Shift Meets Market Reality
The trend reflects both cultural norms and economic necessity.
Affordability constraints are pushing more borrowers to combine incomes, share expenses, and co-invest in property. At the same time, multigenerational living aligns with long-standing cultural values around family support and shared wealth-building.
BMO Vice President Lizzy Diaz-Ortiz said the shift signals a move “away from the traditional property ladder toward a shared goal” of long-term housing stability.
Younger Latino buyers are at the center of this shift.
Millennial and Gen Z respondents show the strongest inclination toward family-supported homeownership and a willingness to make trade-offs to achieve it. Many prioritize stability over investment returns, with homeownership framed less as a wealth-building tool and more as a life milestone.
The data also points to increased flexibility among younger buyers, including openness to relocating to achieve affordability and using new tools, including AI, to navigate the homebuying process.
What It Means
For mortgage professionals, the rise of multigenerational purchasing structures could have underwriting and product implications.
Loans involving multiple borrowers, shared income streams, and nontraditional occupancy arrangements may become more common, particularly in markets with high Latino populations. At the same time, demand could grow for flexible guidelines that accommodate co-borrowers, extended family income, and long-term occupancy planning.
The takeaway: affordability constraints aren’t dampening demand — they’re reshaping how deals get done.
