U.S. housing costs rose 3.8% in 2024 over 2023, according to the Census Bureau’s American Community Survey. The monthly median for homeowners with a mortgage reached $2,035, up from an inflation-adjusted $1,960.
This represents a greater burden for Latino families, who already spend 26.7% of their income on housing, above the national average of 21.4%. In a year where median gross rent rose 2.7% to $1,487, Latino families face pressures in states like California and Texas. With more than 40% of Latino households renting, this trend exacerbates inequality.
The impact of inflation on housing
🚨🏡🇺🇸| U.S. mortgage applications rose 33.3% w/w in the week ended Jan. 10, the largest weekly increase since 2020.
The increase came despite mortgage rates rising above the 7% threshold to their highest since May 2024… pic.twitter.com/Qar6nTd4uZ
– leverage (@leverage_ok) January 15, 2025
The Census Bureau reported that 21.4% of household income with a mortgage goes to housing in 2024, a rise due to mortgage and insurance costs.
For Latinos, with median incomes of $62,800, this means less for education or health care.
In 2023, the increase was 3%, but 2024 accelerated due to higher interest rates.
States such as California ($3,001 per month) and Texas ($2,200) hit Latino families, who represent 19% of the population, hard.
Rent, at a median of $1,487, remains 31% of income for renters, unchanged, but Latinos pay more for rent discrimination.
How do Latino families feel the weight?
Latino families, with ownership rates of 49%, see mortgages as a major barrier.
59.7% of owned households have mortgages, and Latinos face 1.5% higher interest rates due to credit profiles.
In New York and Florida, where Latinos make up 30% of residents, rents rose 6.5% or more in states such as Delaware.
A typical Latino family of four spends $500 more per year on housing than in 2023.
This reduces mobility, with 25% of Latinos cost-burdened (spending more than 30% on housing), according to federal data.
Solutions and perspectives for Latinos
The Census Bureau suggests programs such as first-time buyer tax credits.
Latino families seek HUD subsidies, but only 15% get access.
In 2024, 900,000 new debt-free households emerged, but Latinos grow more slowly.
States like Vermont (8.9% increase in vacant homes) offer models, but Latinos need loan reforms.
The future depends on policies that address housing discrimination.
The national cost landscape
The median gross rent rose to $1,487, with states such as Mississippi seeing increases of 6.5%.
Homeowners with no mortgage (35 million) pay $184 in HOA dues, but Latinos, at 51% in Nevada, face more.
Median income for Latinos rose 4% to $62,800, but is not enough for housing.
This leaves 21 million cost-burdened renters, with Latinos overrepresented.
Filed under: Housing Costs for Latinos
This article was originally published in Nueva News.
