by Alejandro Becerra
The buying power of minority homebuyers is expected to help fuel a thriving housing economy, especially if reinforced by government initiatives geared towards mortgage ready individuals and families. Although the economic crisis has masked their significance, minority homebuyers will continue to affect the market tremendously.
Overall, lower housing values, a large housing inventory, and historically low interest rates put the potential for homeownership well within the reach of minority buyers. Some housing experts are predicting that the sheer population size of minorities is considered large enough to absorb the increasing housing inventory now being vacated in the market.
The financial sector should now make loans the right way by providing borrowers with reasonable loan terms and conditions, affordable down-payments, counseling and homeownership assistance for eligible borrowers. If mortgage ready minority homebuyers are reached effectively with affordable loans, they can achieve sustainable homeownership and reinvigorate the housing sector.