Redfin: Hispanic Homeowners More Likely To Receive Financial Assistance When Purchasing A Home

Hispanic homeowners in the U.S. are more likely to receive financial help on making their housing payments, than any other race or ethnic group in the country, according to Redfin.

The company is attributing familial financial help as the reason why the Hispanic homeownership rate has increased over the last few years with 50.1% of Hispanic and Latino Americans owning their home in 2020. According to the report, this figure is a whopping 45.4% higher compared to 2014. 

“Hispanic people in the U.S., especially those who are undocumented, tend to have less access to credit and higher debt compared to other racial or ethnic groups, making them more dependent on support from family to buy a home,” said Sebastian Sandoval-Olascoaga, an economist at Redfin, according to the report. “With those limitations, support from family and social networks--such as living with family or friends without paying rent--allows Hispanic people to save money for a down payment or monthly mortgage costs. That ability to rely on family is one of multiple reasons why the Hispanic homeownership rate is steadily rising.”

“For many Hispanic Americans, making social or personal sacrifices is a necessity if they want to buy a home,” added Sandoval-Olascoaga. “That's especially true this year, as Hispanic people were more likely than people of other races to lose their jobs due to the pandemic. Plus, undocumented immigrants are unable to access financial help from the government and may have to rely on family, adding to the need for Hispanic families to make economic sacrifices.”

Read more from Redfin's findings on Hispanic homeowners, the financial support they receive from their families and how it helped increase overall Hispanic and Latino homeownership.