The homeownership rate of Asian-Americans and Pacific Islanders was 55.6 percent in 2016, possibly the first accurate data in the U.S. of this rapidly growing segment of the population. It lags behind the national homeownership rate of 63.5 percent and is significantly below the 59 percent recorded for this group in 2015.
The 2016 count is more accurate, says the Asian Real Estate Association of America, because it was the first year the Census Bureau grouped Asian-Americans and Pacific Islanders into a separate category. They had been grouped in the “other” category prior.
“With this new data, researchers will be able to analyze the barriers to housing facing the AAPI community that are preventing it from achieving high levels of homeownership,” according to AREAA’s 2016 State of Asia America Report.
There are more than 21 million AAPIs living in the U.S., and that number is expected to double by 2050, according to AREAA. Their purchasing power is expected to rise to more than $1 trillion by 2018. Twenty-seven states now have an AAPI population larger than 100,000, with the highest concentration in Los Angeles County, Calif.; Honolulu County, Hawaii; and Santa Clara County, Calif. AREAA’s report also notes that by 2024, 1.8 million more Asian households will be formed.
The AAPI population has the highest employment rate of any race or ethnic group at 61.3 percent. It also has the highest average earnings. “Real estate professionals who take time to learn more about the unique needs and challenges of the AAPI community position themselves to provide better service and offer more value to customers,” says Geoff Lewis, president of RE/MAX LLC.
Source: “Finally, a True Picture of Asian American Homeownership,” RISMedia (April 2, 2017)