With rents rising every year, many Hispanics are spending more than 30% of their income to pay rent and prefer to buy a property, but fear they don’t have the financial means to do so. Something that can be a myth can be proven through education. The motivation of Hispanics to achieve the American dream of home ownership has been noted.
Valeria Esparza-Chavez, director of the Hispanic Segment at Wells Fargo, warned: “We know that the statistics tell us that, in the next 20 years, 70% of home buyers nationwide will be Latinos. ”
According to a report from the National Hispanic Real Estate Association, Florida Latinos are responsible for 35.6% of the nation’s Latino home ownership growth. In fact, between 2019 and 2021, Miami added 68,046 more Latino-owned homes, with an average value of nearly $362,500.
But the rise in interest and property prices in our area has many doubting that they will achieve this goal.
“Many families think that they must have 20% of the initial payment for the purchase of the house to enter a mortgage or a house. And that is not true,” explained Valeria Esparza-Chavez.
The director of the Hispanic part of Wells Fargo explained that there are programs where one only has to give a down payment of 5% and this advisor from the Department of Housing or HUD says that the mortgage loan backed by federal government known by their acronym in English as FHA may be the best option for many Hispanics.
Lucy Ruiz, HUD housing advisor, says that “it is generally used more by Hispanics and more important by people with low credit scores and those people with less debt.”
A new trend among Hispanics, according to Ruiz, is that many families are including their adult children in the transaction. Therefore, some are trying to “generate less income and more potential to buy a house.”
Both experts stress the importance of educating yourself, talking to a mortgage expert to see your options.
“Many times we are closer than we think to buying our own home,” said Valeria Esparza-Chavez, director of the Hispanic Segment at Wells Fargo.
Precisely this Tuesday and Wednesday in Miami, the L’ATTITUD conference dedicated to the economic power of the Latino community in the United States took place. The National Hispanic Real Estate Association will offer several panels to educate experts about new trends and opportunities for our community.