The Asian Real Estate Association of America (AREAA) released its 2020-21 State of Asia America Report. The report discusses COVID-19, anti-Asian bias and hate crimes, and employment issues in addition to housing. Among the Texas highlights:
- The greater Houston and Dallas-Fort Worth areas are among the top MSAs in the South for Asian American and Pacific Islanders (AAPI).
- Houston-The Woodlands-Sugar Land is home to nearly 533,000 AAPIs. Twenty percent of the state’s AAPI population lives in Harris County, which includes Houston. The median house value is $219,100, while the median Asian household income is $92,579. The median listing price is $354,500.
- Dallas-Fort Worth-Arlington has nearly 510,000 AAPIs. The median listing price is $383,450.
- Texas continues to be a popular migration destination. From 2015-2019, 71,000 AAPI residents moved to the Dallas-Fort Worth-Arlington MSA, and 69,000 AAPI residents moved to the Houston-The Woodlands-Sugar Land MSA.
The report also discusses national trends:
- Though Asian American and Pacific Islanders are the fastest growing segment of the U.S. population, the average homeownership rate continues to be lower than the national average, according to the report. The Asian American housing rate is 60.6%, while the Pacific Islander housing rate is 40.1%.
- Altogether, AAPI borrowers tend to be younger, have income and higher credit scores (for those who have one) than the overall population, but ‘mortgage weak’ AAPI buyers—individuals with limited credit histories—face application denials; this reality and housing shortages in high-cost areas have made homeownership more elusive for potential AAPI homebuyers.”
- The Asian American median household income is $93,759—35% higher than the national average. The Pacific Islander median household income is $66,464, which is 1.1% higher than the national average.
- In addition to housing shortages in major markets, other homeownership barriers for the AAPI community include language barriers, antiquated credit scoring models, and underwriting standards that do not account for self-employed entrepreneurs.
- The top challenge for homebuyers was that there were not enough homes available for buyers within their price range (83%). Real estate professionals said their top challenge was dealing with the supply and demand of housing in their market (83%).
For more information, and to download the report, visit areaa.org.