Noting the current housing market scenario is not meeting expectations most analysts predicted a year ago, Mortgage Bankers Association (MBA) CEO and President David Stevens says the changing demographic in the U. S. is going to require changes in the home financing market. “If you look at existing housing stock in this country, 70 percent of it is occupied by white non-Hispanics,” Stevens said. “If you look over the next decade, in terms of new housing stock being created and new household formation, only about a third of that is going to be white non-Hispanic, and the remainder is going to be minority. We’re moving to a country that is going to be majority minority. But in terms of home sales, it is going to be vastly majority minority by about two-thirds.”
According to nationalmortgageprofessional.com, he says multi-generational households with members working different, sometimes multiple, jobs, and offshore sources of funds will result in financing new types of homeownership. This demographic change may favor the affordable housing market, which could benefit manufactured housing. Stevens says the percentage of 30 year-olds with mortgage debt is down ten percent, which MHProNews understands is considered a significant dent in housing recovery. ##
