In 2022, the percentages of Black and Asian/Pacific Islander homebuyers shrunk to their lowest level on record, the National Association of Realtors (NAR) said in a report Thursday. The share of White buyers, on the other hand, increased to 88%—the highest since 1997, when the NAR began collecting the data. The share of Hispanic homebuyers also increased, reflecting the growing importance of Hispanic buyers in the real estate market. The report surveyed more than 4,000 homebuyers between July 2021 and June 2022, and since then, homes have gotten much more difficult to afford due to soaring mortgage rates and prices that have only recently begun to fall after spiking during the pandemic. The report highlighted that some groups have been hit harder than others by the decline in affordability. “Housing affordability and limited inventory impacted the buying power of all buyers, however, the greatest impact was felt by Black and Asian Americans,“ said Jessica Lautz, vice president of demographics and behavioral insights at the NAR. “Many White Americans are repeat buyers with housing equity that allows them to make easier trades in today’s market.” Have a question, comment, or story to share? You can reach Diccon at dhyatt@thebalance.com.
