The minority homeownership rate has dropped annually to its lowest level since the third quarter of 2017.
Despite the strong overall homeownership growth in the United States, The National Association of Home Builders found that the minority homeownership rate went down from 47.4% to 46.9%.
NAHB’s report showed that black non-Hispanic homeownership rate fell from 42.6% in Q2 2018 to 41.3% in Q2 2019. The decline marked the lowest homeownership rate among black households since 2004, according to the organization.
Meanwhile, the share of Hispanic households stayed flat at 46.6%. The white non-Hispanic homeownership rate, on the other hand, inched up from 72.9% to 73.1%. The rest of the demographics (Asian, Pacific-Islander, Native American, and other race households) dipped 0.7 percentage points to 57.8%.
“Home prices have appreciated significantly in recent years while income has increased at a slower pace, exacerbating housing affordability,” wrote NAHB Research Associate Carmel Ford in a blog post. “Going forward, these trends may put downward pressure on the overall homeownership rate.”