English, Article edition: Language, Agglomeration and Hispanic Homeownership Donald R. Haurin; Stuart S. Rosenthal

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Bookmark: http://trove.nla.gov.au/version/156186
Physical Description
  • article
Language
  • English

Edition details

Title
  • Language, Agglomeration and Hispanic Homeownership
Author
  • Donald R. Haurin
  • Stuart S. Rosenthal
Physical Description
  • article
Notes
  • As of the fourth quarter of 2007, 74.9% of white non-Hispanic families but only 48.5% of Hispanic families owned homes. We argue that low rates of homeownership in Hispanic communities create a self-reinforcing mechanism that contributes to this large disparity. In part, this occurs because proximity to other homeowners belonging to a family's social network improves access to information about how to become a homeowner. Role model effects may also be relevant. We investigate these issues using household-level data on out-of-state movers from the 2000 Decennial Census. Three especially important results are obtained. First, proximity to Hispanic homeowners in the 1995 place of residence increases the propensity of a Hispanic family to own a home in 2000. Second, that effect is especially strong with respect to proximity to weak English-speaking Hispanic homeowners. Third, these patterns hold regardless of the Hispanic family's own ability to speak English. From a policy perspective, these results suggest that local programs designed to promote homeownership among weak English-speaking Hispanic families likely increase Hispanic homeownership beyond just the immediate program participants. Copyright (c) 2009 American Real Estate and Urban Economics Association.
  • RePEc:bla:reesec:v:37:y:2009:i:2:p:155-183
Language
  • English
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