He emphasized that lenders need to reconsider how they assess Hispanic borrowers. This includes broadening the credit criteria to consider income from multiple household members, which is common in Latino families, and looking at alternative credit data such as rent payment histories.
“In some areas of the country, it’s a buyer’s market,” Acevedo explained. “Sellers are offering more concessions to buyers, up to $15,000 to $20,000. If sellers are taking care of part of the down payment, what can lenders do to give credit back to first-time buyers?
“Lenders can offer a buy down on interest rates for first-time homebuyers,” he suggested.
In 2025, Hispanic households saw a net gain of 441,000 owner-households, the largest increase in a single year since the U.S. Census Bureau began collecting data in 1975. Without Hispanic buyers, the total number of U.S. homeowners would have decreased by 125,000 households.
Jaimie Smeraski, NAHREP’s vice president of national programs and research, noted that these numbers reflect long-term trends that are now accelerating.
“Latinos are young and entering their prime homebuying years,” she said. “They have been a driving force behind homeownership growth for the past decade.”
In 2025, Hispanics formed over 1 million new households, accounting for 92.6% of all U.S. household formations, a key indicator of future homeownership activity.
“If there was enough supply, these numbers would be even higher,” Smeraski added.
Reaching a diverse demographic
Acevedo mentioned that there is no one-size-fits-all approach for agents looking to tap into the Hispanic market. He explained that the community is divided into two distinct demographics.
“With the older generation of Hispanics, you’ll find them at local community events and churches,” Acevedo said. “They are looking to empower our professionals to educate the community. On the other hand, there are tech-savvy Latinos who are active on social media. Agents are gaining business through platforms like Instagram reels.”
“Culturally competent education goes beyond language access,” he emphasized. “It’s about giving hope to prospective buyers and showing them that achieving the American dream is possible.”
Immigration fears disrupt the market
The report highlighted intensified immigration enforcement as a destabilizing force in the 2025 housing market. Acevedo mentioned seeing firsthand the impact of this in his agency.
“Some of my escrows have been canceled due to the fear of buying a home and then facing deportation,” he shared. “Others are selling their homes out of fear that their property could be taken from them.”
NAHREP’s Smeraski mentioned that agents are fielding complex questions from clients seeking guidance on asset protection.
“Existing homeowners are concerned about protecting their assets in case of deportation,” she explained. “Agents are helping clients navigate through these uncertainties, including estate planning.”
Smeraski emphasized the need to fix the broken immigration system to rebuild trust and create pathways to citizenship.
Navigating compensation and credit access
The 2025 housing market saw changes in buyer’s agent compensation following class-action lawsuits. While sellers typically cover commissions, the report warned that this could change in a tighter market, posing new challenges for first-time buyers.
Acevedo mentioned that agents are making the most of market conditions favoring buyers and negotiating compensation through effective buyer presentations.
Regarding lending, the report noted that nearly one in three Hispanic home purchase originations in 2024 used FHA financing, double the rate of non-Hispanic buyers. However, in May 2025, non-permanent residents were no longer eligible for FHA loans, affecting DACA recipients and others.
Smeraski highlighted the importance of reversing this policy as one of NAHREP’s top priorities.
When the 60-day window was announced, there was a rush to assist non-permanent residents in securing their status.
She also emphasized the need for modernizing the broader lending system, in addition to gaining access to FHA loans.
Smeraski pointed out that Latinos often have non-traditional income sources like self-employment or side businesses, which don’t align well with standard underwriting processes.
She stated, “The issue lies in the system’s inability to effectively cater to these individuals. They are more than capable of sustaining a mortgage, but the system doesn’t accommodate them properly. By creating more opportunities for those outside the typical credit criteria, we can welcome many qualified borrowers.”
Opportunity markets and the road ahead
For real estate agents in emerging markets such as Indianapolis and leading Texas cities, Acevedo gave simple advice: “Become a market expert. By doing so, you can guide families effectively and help them secure the best deals available.”
According to the report’s affordability index, Indianapolis ranked first among opportunity markets for Hispanic homebuyers. Other top spots included Laredo, Lubbock, and El Paso in Texas, as well as Pittsburgh. Texas dominated with 17 cities in the top 25.
Smeraski highlighted the resilience of Hispanic homebuyers amidst affordability challenges and political uncertainties, attributing it to a strong cultural motivation.
She explained, “Owning a home is a fundamental part of the American dream for them. They are determined to make it happen, whether through relocation or involving co-borrowers. It’s a symbol of their aspirations.”