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119
FLORIDA
Miami Captures Attention of Immigrant Homebuyers
U.S. immigration is up, according to the U.S. Census Bureau.
e United States currently has the highest proportion of
immigrants since 1910, and 13.7 percent of homeowners in the U.S.
are foreign-born. Analyzing the Census Bureau data, LendingTree
identified which cities hold the highest number of foreign-born
homeowners.
In their study, LendingTree found that cities with higher
proportions of foreign-born homeowners tend to have higher
home prices. Prices for the top 10 cities average $491,750 compared
with $167,560 for the bottom 10. Miami topped the list with 26
percent of homes owned by foreign-born residents, moderate home
prices, and a median home price of just $278,700.
"Out of the 50 largest cities in the country, those with a higher
share of homes owned by foreign-born residents tend to have
higher home prices," said Tendayi Kapfidze, Chief Economist
at LendingTree. "is is not to say that immigrants raise home
prices—rather, it's likely that immigrants gravitate towards these
cities which have higher home prices, as they also have more
dynamic economies and thus more employment opportunities."
Including Miami, many of the cities in the ranking are coastal
cities. e top five are all coastal cities, with all but Miami
located in California. San Jose and Los Angeles take the number
two and three spots, respectively. San Jose has a foreign-born
homeownership rate of 25 percent, while Los Angeles, has a
foreign-born homeownership rate of 18 percent. ese two cities
have some of the highest home prices in the country: San Jose's
median home price is $957,700, while Los Angeles's median home
price is $617,100.
Kapfidze continued, "e proportion of highly-skilled
immigrants is also higher in these cities which puts some upward
pressure on home prices as a secondary effect. us, homeowners
in cities with high foreign-born populations benefit from faster
home price appreciation, creating opportunities for them to access
this wealth via refinancing or home equity extraction. is added
spending can, in turn, boost the economy or provide capital to
fund new businesses."
