J
esus Moreno and Dayra Medrano, a young couple with a six-month-old baby, recently bought a house in the Terrell area. They're part of a growing trend in Texas's real estate market, where Hispanics are becoming a significant force. According to the Urban Institute, Latinos will represent over 70% of residential real estate purchasing power in the US within the next 20 years.

    Diana Sifuentes, a real estate agent with over two decades of experience, notes that buying a home is a key part of fulfilling the American Dream for many Hispanics. They work hard to achieve this goal and are not satisfied with just having a job; they aim to own their own business and home.

    In Dallas, Latinos have made significant homeownership gains, with a 19.8% increase compared to other ethnicities. Despite high interest rates and limited inventory, the Hispanic community has grown its homeownership rate more than any other racial or ethnic group in 2022.

    Achieving a 50% homeownership rate is a critical milestone for the Latino community, according to the NAHRP 2024 State of the Hispanic Wealth Report. With a median age of 30.7, Latinos are the youngest homeowner ethnic group, providing ample time to grow their assets and advance their earning potential.

    Hispanic buyers tend to be younger when purchasing homes and investment properties, with 44.8% of primary residence purchases made by those under 35 in 2023. Financial programs like Wells Fargo's Homebuyer Access grant have boosted home buying among the Hispanic community, providing up to $10,000 for down payments.

    Some misconceptions surrounding the Hispanic community hinder its presence as a force within the real estate market. For example, many believe Hispanics predominantly purchase real estate in low- to moderate-income neighborhoods, but 71% of Hispanic purchases were made in middle- and upper-income census tracts in 2023.

    Sifuentes notes that myths like needing a 20% down payment or established credit can create barriers for Hispanics. However, there are mortgage loans with lower down payments and alternative credit options that consider rent and utility payment history.