Homeownership rate among Asian Americans continues to rise
By Leighton, Kelly | May. 28, 2019 | 2 min. read
The Asian American and Pacific Islander community are the most active demographic minority participant in the mortgage and housing industry in the U.S., according to State of Asia America 2019, released by the Asian Real Estate Association of America.
The number of AAPI buyers in the past 18 years has risen 27%. As the fastest-growing demographic in the country, the population increased 72% from 2001 to 2015, representing 25.7 million AAPIs in the U.S. today. APPI women alone have grown 49% in population in the U.S. since 2005. The report predicts that by 2055, AAPIs will become the largest minority group in the country, thanks to both immigration and domestic growth.
In the fourth quarter of 2018, the rate of homeownership for APPI was 58.1%, second only to white Americans. Culturally, many APPI members reside in multigenerational homes, which impacts their homeownership rates. In the northeast area of the country, 20% of the APPI population in the U.S. lives, and is expected to continue to grow. Between 2009 to 2014, the population grew 25%.
With an employment rate of 61%, APPI are the highest employed group of any minority in the U.S. and they are also high earners. The average median household income is $73,000, an increase of 39% from the national household average income of $53,000. More APPIs are married couples, compared to the national average. Nearly two-thirds of APPI households are married couples, compared to 50% of all Caucasian American households.
There are limits though, the report found that homeownership among APPIs is below the national average because of “language barriers, lack of knowledge and lack of education in the homebuying process.”
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