One of the goals of many Americans is to own a home. After all, there is nothing more personally and financially rewarding than owning property that you can say is “yours,” and that will continue to build wealth for you and your family. Statistics show that homeownership among the Hispanic population is on the rise in the San Diego area. If you are a new homeowner or plan to purchase soon, here are some tips to make your journey a success.
Hispanic Homeownership Is on the Rise in San Diego
According to a recent report by the National Association of Hispanic Real Estate Professionals, Hispanic homeownership nationwide reached 49.5%. During that year, Latinos added a net gain of 377,000 owner-households, which is the latest single-year gain in nearly two decades.
Even with rising interest rates and low housing inventory as barriers, the Latino population has been resilient in its goal to grab a piece of the American dream. According to the report, many Hispanic homebuyers were willing to move to find more affordable housing, take advantage of specialized programs, and use co-borrowers for financing.
The news is just as positive in San Diego. Between 2017 and 2022, Latinos accounted for roughly 47% of new household formations in San Diego County. According to a recent news report, one reason homeownership has become more accessible is because Latinos purchase to create multigenerational households. Other reasons include population growth and economic mobility.
10 Tips for New San Diego Homeowners
Purchasing a home in the San Diego area can be challenging. However, your hard work and determination will be worth the effort. Here are some tips for new San Diego homeowners to make the journey a success.
1. Understand Your Finances
Before you jump in and start making offers on homes, it’s vital that you have a clear picture of your finances. Understand how much you can afford when it comes to your mortgage payment, property taxes, HOA fees, maintenance, and insurance. And don’t forget to consider closing costs in your calculations.
2. Research the San Diego Market
San Diego has many different neighborhoods, each with its own charm and character. Research neighborhoods thoroughly so you can create a list of areas that align closely with your budget, lifestyle, and other preferences. For example, you might consider things like schools, amenities, and safety in your choice.
3. Prioritize Your Wants and Needs
When searching for your San Diego home, it’s critical to make a list of your needs and wants. For example, you might have a “must-haves” list that includes things like a large backyard and three bedrooms. Your “wish list” might include things like a finished basement or swimming pool.
4. Get Pre-Approved for a Mortgage
If you’re serious about buying a home in San Diego, consider getting pre-approved for a mortgage. Speak with a lender about how much you can qualify for and get pre-approved. This gives you additional bargaining power when you make an offer on a home.
5. Work With a Knowledgeable Agent
Even though you can probably find a lot of homes for sale online, nothing beats the experience you can get from working with a seasoned real estate agent. Your agent will help you avoid costly mistakes and help you get the best possible deal on your San Diego home.
6. Be Smart With Offers and Negotiations
When you find a home that fits your budget and includes the items you need and want, it’s time to make an offer. Your offer should be fair, and it usually needs to be fast in a hot market like San Diego. If the price you picked isn’t competitive, you may not receive a counter or acceptance.
7. Conduct Thorough Inspections
It’s impossible to gauge the structural soundness of a home by what you see at an open house or even a detailed walk-through. You need a professional to come out and provide a thorough inspection of the home’s systems, fittings, structure, and appliances. The results of the inspection could impact your financing and final deal.
8. Don’t Ignore Small Problems
If you find a home you like, it’s tempting to downplay minor issues so you can keep the deal moving forward. Use caution when doing this, and make sure the problems are truly minor. After all, a small leak could lead to major water damage and mold, which would be costly to address.
9. Stay on Schedule for Closing
The time between entering a contract and closing on your home involves a lot of important milestones. If one is missed, it could delay your closing. Stay in close contact with your agent and title agency so you know what’s expected of you during this process.
10. Avoid Blowing Your Budget With Upgrades
Finally, avoid blowing your carefully designed budget after closing with a lot of upgrades. Even if you didn’t get that swimming pool, avoid the temptation to spend thousands immediately to install one. Wait to see how the cost of homeownership impacts your overall budget first.
Connect With a San Diego Attorney You Can Trust
Whether you own or rent your home in the San Diego area, it’s important that you know where to turn when you require legal assistance. At Gomez Trial Attorneys, we are a trusted resource in the community and are ready to stand by your side when you need us the most.
Our award-winning personal injury attorney, John Gomez, and his associates represent clients who have been injured in accidents or lost loved ones through wrongful death. We also represent clients in workplace sexual harassment matters. If you believe you have a case, please call 866-TRIAL LAW (866-874-2552) or contact us online to schedule a free initial consultation.
FAQs
What percentage of homes are rented versus owned in San Diego?
According to DataUSA, 54.2% of the housing units in San Diego County were owner-occupied in 2022, and 70.1% of homeowners had a mortgage. This is lower than the statewide average but an increase from prior years.
What resources are available to help the Hispanic population with homeownership?
There are many resources available to help with Hispanic homeownership. One is Fannie Maes’ HomeView, which is a digital consumer education platform geared toward homeownership that is available en Espanol.
Are there mortgage programs to help with Hispanic homeownership?
New American Funding is the largest Hispanic-owned mortgage lender in the U.S. The company offers programs that include up to $8,000 in assistance for closing costs or down payments.