Hispanics lead in post-pandemic economic recovery
Hispanic household wealth has tripled in the past decade, at almost twice the rate of the overall population, surpassing the goals set by the National Association of Hispanic Real Estate Professionals (NAHREP).
A new Federal Reserve-led Survey of Consumer Finances (SCF) revealed that Hispanic median household wealth had reached $61,600 in 2022, marking a growth rate that outpaces all other racial or ethnic groups.
In a comparative analysis, the SCF data showed that from 2013 to 2022, Hispanic wealth increased 3.5 times, while non-Hispanic Whites saw a 1.6 times increase, Blacks experienced a 2.7 times increase, other/multiple races had a 2.5 times increase, and the general population witnessed a 1.9 times increase. These figures are presented in 2022 inflation-adjusted dollars.
In 2013, the SCF reported that Hispanic median household wealth stood at a mere $17,500 after adjusting for inflation. The following year, NAHREP set an ambitious goal to triple Hispanic wealth, leading to the inception of the Hispanic Wealth Project (HWP). This initiative was established in response to the devastating financial impacts of the Great Recession, during which Latinos experienced a significant erosion of household wealth.
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The HWP laid out a comprehensive blueprint targeting three pivotal areas to augment wealth: amplifying homeownership rates, expanding small businesses, and diversifying financial assets. These focal points were identified as instrumental in driving the resurgence of Hispanic wealth in the aftermath of the recession.
“Despite incredibly challenging environments, which included the Great Recession and COVID-19, Hispanic wealth has exploded at a pace never seen before,” HWP chairman Sara Rodriguez said in a media release. “There is still a substantial wealth gap, but the gap is closing, and the primary key indicators are positive and are expected to continue.”
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