Homebuying Got Less Diverse in 2022

Off the Charts: The Visual Says It All

A Black couple standing outdoors on a sunny day on a residential street, with a young man holding a folder.
Photo:

Kali9 / Getty Images

It’s been extremely difficult to get into the housing market lately, and minority groups have been especially hard hit, a chart of the racial characteristics of homebuyers shows. 

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."

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Sources
The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy.
  1. National Association of Realtors. "Profile of Home Buyers and Sellers."

  2. National Association of Realtors. "NAR Finds Share of First-Time Home Buyers Smaller, Older Than Ever Before."

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