Wednesday, April 2, 2014

Dreams of immigrants will continue to drive the housing recovery in the U.S.

Efforts to reform the U.S. immigration laws could have at least one unintended benefit for the economy : the nascent housing recovery is likely to receive more momentum .

The amount of homeowners foreign born 2.8 million increase in the decade ending in 2020 , compared with an increase of 2.4 million in the previous ten years, according to a study by the Mortgage Bankers Association (MBA , for short ) that did not assess the potential impact of a new law.

Research by a group of Hispanic Real Estate Agents concluded that the increase could be even higher if undocumented workers are placed in the path to citizenship .

Immigrants who are more positively than native Americans owning property, are increasingly likely to buy a house to live in the more prosperous the U.S. and are , research shows. They represent more than 50 % of the increase in the purchase of houses in six states in this decade , including California and New York, according to the report .

" We may have underestimated this powerful force already residing here and upward mobility is so pushed up from below the housing market ," said Dowell Myers , author of the MBA study and professor of public policy at the University of Southern California at Los Angeles who studies the demographics of housing. "It has accumulated a growing momentum ."

That upward mobility is evident in the MBA data showing that the percentage of those who arrived in the 1980s and became homeowners increased by about 35 percentage points in the next three decades despite the longest recession since the great Depression had a negative impact. By 2020 , 61% of Hispanic immigrants who arrived here nearly forty years before , in addition to more than 70 percent of Hispanic aliens, be homeowners.

Europe troubles

While the housing market recovery fuels expansion in the U.S., European economies are struggling. The unemployment rate in the euro area remained at a record high of 12% in February, data showed the statistical office of the European Union in Luxembourg yesterday.

56% of Hispanic Americans, according to census data in the U.S. make up more than half of the inhabitants were born abroad , said an "important" reason to buy a house is that it is a "symbol of success or achievement," showed data from a 2011 survey conducted Fannie Mae to Washington .

The percentage of all Americans who gave the same response was 32 %.

67% of Hispanics said that an important reason for buying a home is a good investment for retirement , compared to 54% of the total population , the survey showed .

No comments:

Post a Comment