The Role of Asians In The Housing Crisis

February 29, 2008

The development of Asian Pacific America often takes unassuming and circuitous routes, while always moving along a path.

News these days is all about the year’s most exciting presidential contests, which includes coverage of white, black and even brown, but hardly any yellow. In a way, it is all a cover-up for the big news of the day: America’s housing crisis.

But, as it turns out, property ownership has long been a cornerstone of the Asian Pacific American community. Owning one’s home signifies stability and financial security — and the achievement of the American dream.

Real estate is part of the economic engine driving the Asian American community today — up to 100,000 Asian Americans nationwide are real estate agents, and there are more than 17,000 Asian American realtors in California alone. The rapid ascendancy of the Asian Real Estate Association of America is a testament to the increasing number of Asian realtors and Asian homeowners. In this issue, Grace Tzeng profiles one of the oldest groups, the Chinese Real Estate Association of America, which celebrates its 30th anniversary this year.

The impact of Asian Americans on the real estate industry is amazing, considering that Chinese were not allowed to own property in certain parts of San Francisco as recently as 1950.
Today, Asian American home ownership is on the rise. APA homes have the highest median value when compared to any other group. Between 2000 and 2005, the Asian home ownership rates grew from 53 percent to 59 percent. And there is still plenty of room for growth: The overall national home ownership rate is 67 percent, and for white Americans, it is 74 percent.

There may be something in the uniquely U.S. nature of Asian Pacific Americans which leads us toward home ownership and real estate activity. As of yet, its dramatic growth has occurred under the radar screen of the major media.

In the end, it would be an interesting development if America’s housing crisis was not solved by any of the presidential contenders, but rather by Asian Pacific American home ownership patterns.

The Role of Asians In The Housing Crisis

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