Home values are growing across the U.S., but in majority-Hispanic neighborhoods, that growth remains behind the growth other neighborhoods are experiencing. In 2024, the total value of homes in majority-Hispanic neighborhoods rose by 4.2% to $2 trillion, but this was the slowest growth among all neighborhood types, according to data from online real estate brokerage Redfin. Majority-white neighborhoods saw the fastest growth, with home values increasing by 5.4% to $40.4 trillion. Majority-Black and majority-Asian neighborhoods followed closely with growth rates of 5.3% and 5.2%, respectively.
Slower growth in Hispanic areas could be partly due to the fact that many of these locales are concentrated in Sun Belt states, such as Texas and Florida. In these states, home prices have cooled considerably since the pandemic housing boom. On the other hand, the Northeast and Midwest, which are home to more majority-white neighborhoods, are seeing faster price increases.
Still, the total value of homes in Hispanic neighborhoods is growing, and at a pace not far behind that of other neighborhood types. But slower growth in home values—or even declining home values, in certain areas—can have an outsized impact for Hispanic families.
Redfin Economic Research Lead Chen Zhao said that’s because a larger share of Hispanic households’ net worth tends to be tied to real estate.
Real estate makes up 61.6% of Hispanic households’ net worth, compared to just 27.4% for white households. Real estate makes up 44.1% of Black households’ net worth and 39.5% of “other” households (a group which includes Asian households). Read more
