As the Latino population makes significant gains in education, employment and financial stability, the demographic is expected to be the next major wave of homebuyers.
According to a recent report from the National Association of Hispanic Real Estate Professionals, the purchasing power of Latinos, which was on par with the rest of the the population during the past decade, is expected to rise 48 percent to an estimated $1.6 trillion by 2016.
"Despite recent losses suffered by Hispanics during the housing crisis, young Latino families that were unaffected by foreclosure or lost home values are ready to enter the market," said NAHREP president Carmen Mercado.
Meanwhile, real estate data shows that during the third quarter of 2011, Latino homeowners accounted for nearly 53 percent of the 545,000 new households formed during the three-month period. However, the overall homeownership rate among Latinos fell from 47.3 percent in 2011 to 46.9 percent in 2011. But this marginal decrease was notably less that the nation average that dipped from 67.8 percent to 66.1 percent during the same period.