Real Estate Realities.

• Author: Green, Troy

MINORITY HOMEOWNERSHIP stubbornly lags behind the national rate, with black citizens facing some of the toughest hurdles to achieving this essential part of the American Dream, according to the National Association of Realtors' "Snapshot of Race & Home Buying in America" report. The home-ownership rate for blacks is 42%; for whites, 69.8%. The U.S. home-ownership rate stands at 64.2%, with the rates for Asian and Hispanic Americans at 60.7% and 48.1%, respectively.

"The data reinforces the need to implement key policy initiatives NAR developed in concert with the Urban Institute and the National Association of Real Estate Brokers to address the black homeownership gap," says Charles Oppler, president of the National Association of Realtors. "Specifically, this five-point plan calls on the nation to advance policy solutions at the local level; tackle housing supply constraints and affordability; promote an equitable and accessible housing finance system; provide further outreach and counseling initiatives for renters and mortgageready millennials; and focus on sustainable homeownership and preservation initiatives."

Regarding home affordability nationwide, 43% of African-American households can afford to buy the typical home compared to 63% of white households, 71% of Asian households, and 54% of Hispanic households, according to the study. Wide variances in affordability exist by state. For instance, more than 60% of black households can afford to buy a home in Alaska, Kansas, Nebraska, South Dakota, and Vermont. However, less than one-third can afford to do so in California, Colorado, Hawaii, Massachusetts, Montana, Nevada, Oregon, Utah, Washington, Wyoming, and the District of Columbia. There are just four states where less than half of white households can afford to buy a home: California, Hawaii, Oregon, and Washington. More than half of Asian households can afford to purchase a home in all but six states: California, Colorado, Hawaii, Montana, North Dakota, and Wyoming, as well as the District of Columbia.

Twenty-three percent of Asian Americans and 18% of Hispanic Americans purchased a multi-generational home--with "spending time with aging parents" and "saving money" listed as the primary reasons for those decisions. Fifteen percent of African-Americans and 10% of white Americans bought a multi-generational home as both segments said a top driver was adult children or relatives moving back into the home. Blacks and Asians were more...