With the number of Hispanic home owners in the United States rising, one leading brand has recognised the community’s significant economic influence and purchasing power.
RE/MAX representatives have been attending and taking part in the 2016 National Association of Hispanic Real Estate Professionals (NAHREP) annual policy conference in Washington DC.
RE/MAX agents dominated the 2015 NAHREP Top 250 Latino Agent survey, with 61 agents in the ranking – more than twice as many agents than the closest competitor.
There were more than 7.3million Hispanic homeowners in the United States and the ownership rate rose from 45.6% to 46.7% year-on-year, according to the NAHREP’s 2015 State of Hispanic Homeownership Report. At the same time, the overall rate of homeownership in the United States fell.
Geoff Lewis, RE/MAX’s President, was a panellist addressing Business Opportunity Townhall: Real Estate Industry and speaking about the current real estate market and says the conference provides an ideal opportunity to meet Hispanic contacts.
“The NAHREP housing policy conference is a great place to connect with some of the most influential professionals in our industry. Not only are these conference attendees real estate leaders in their local communities, but they’re committed to improving important policies here in Washington for the benefit of both consumers and Realtors.”
Shaun White, Vice President, Public Relations for RE/MAX, tells OPP.Today that it is vital to have agents who can meet the needs of the Hispanic community.
“What’s most important is having real estate professionals who live and work in the community. Agents who understand the culture and the unique interests of those in the Hispanic community will be successful in providing the highest level of customer service.”
RE/MAX does not track the changes in individual demographic groups, but in 2015, the number of agents rose 7% year-on-year to 6,800 and its estimated growth for agents in 2016 is 4%-5%.
“RE/MAX is proud to have more agents recognized on the annual NAHREP Top 250 Latino agent ranking than any other real estate organization. And RE/MAX looks forward to a long relationship with NAHREP to promote the interests of Hispanic real estate professionals and consumers,” he adds.
To further increase its profile among the community, RE/MAX is launching a Spanish TV and radio adverting campaign.
“We want the Hispanic community to know that RE/MAX recognizes the economic power of the Hispanic community and their homeownership aspirations. RE/MAX has a commitment to a strong presence in the Hispanic community and to providing quality services to help everyone achieve their dream of homeownership.”
RE/MAX is a Diamond Sponsor of the National Association of Hispanic Real Estate Professionals (NAHREP) and around 30 RE/MAX Affiliates who are NAHREP members travelled to Washington to be part of the annual policy conference.
Some of these Affiliates were also invited to attend a special White House briefing on housing, given at the Eisenhower Executive Office Building.
With a growing number of homeowners, the Hispanic community has significant economic influence and purchasing power, says Mr Lewis.
“RE/MAX has built a strong presence in many Hispanic communities across the country, and our agents in those areas are providing their clients with the high level of customer service that RE/MAX is known for.”
According to NAHREP’s 2015 State of Hispanic Homeownership Report, Hispanics have attained homeownership gains for the fifth consecutive year,
In 2015, Hispanics achieved a net increase of 245,000 owner households, accounting for 69% of the total net growth in US homeownership.
Hispanics were the only major racial or ethnic group to raise their homeownership rate in 2015. For the first time in 10 years the Hispanic homeownership rate spiked upward while overall homeownership rates in the country continued a downward trend.
The rate of homeownership for every other major population group decreased by nearly 1% or more in 2015, representing a remarkable increase of 531,000 net new owner households. The last time Hispanics achieved these types of owner household gains was in 2005.
Gains in future years are set to be sustained, and a study by the Urban Institute that predicts that Hispanics will account for 52% of new homeowners between 2010 and 2030 and they can achieve even higher levels of homeownership with favourable shifts in homeownership policies.
In 2015, Hispanics accounted for 486,000 new household formations, representing 37% of total household formations in the country. Hispanics comprise about 21% of the nation’s 72.2 million Millennials ages 18 to 34.
According to the Mortgage Bankers Association (MBA), US household growth will be led by up to 5.7million additional Hispanic households over the next decade, and is expected to drive total growth in U.S. household formations through 2024.
“Despite considerable challenges in credit access and a limited availability of affordable homes for sale, Hispanics achieved the strongest homeownership gains in a decade and seemed to break away from the pack,” the report concludes.
“While overall homeownership trended downward, Hispanics experienced a substantial net gain. Hispanics also represent the country’s largest segment of household formation growth. For these two data points to co-exist simultaneously is remarkable.”
RE/MAX was founded in 1973 by Dave and Gail Liniger, and now has more than 100,000 agents in nearly 100 countries, helping the agency top residential sales. It is one of the world’s leading franchisors of real estate brokerage services and is a wholly-owned subsidiary of RMCO, LLC, which is controlled and managed by RE/MAX Holdings, Inc.
NAHREP is driven by the entrepreneurial spirit, cultural heritage and the advocacy of its members. Its mission is to advance sustainable Hispanic homeownership by educating and empowering the real estate professionals who serve Hispanic home buyers and sellers, advocating for public policy that supports the trade association’s mission and facilitating relationships among industry stakeholders, real estate practitioners and other housing industry professionals.