Forty four percent (44%) of the more than 75M millennials living in the United States today self identify as minorities, according to the Brookings Institute Metropolitan Policy Program and its latest report entitled “The Millennial Generation: A Demographic Bridge to America’s Diverse Future.”
For a frame of reference, let’s compare seniors +55 years and up with millennials by self-identified race ethnicity:
Seniors +55 years
Caucasian – 75.0%
African American – 10.0%
Native American – .6%
Asian _ 4.6%
Hispanic – 9.1%
Two+ blended races – 3.8%
Caucasian – 55.8%
African American – 13.9%
Native American – .8%
Asian – 6.4%
Hispanic – 20.8%
Two+ blended races – 2.3%
By the mid 2040’s ethnic minorities are projected to be 50% of the total population. “This means that Millennials will pave the way for generations behind them as workers, consumers and leaders in business and in government with their acceptance and their participation in tomorrow’s more racially diverse America,” said William Frey, a contributing demographer to this Brookings Institute report.
Let’s now translate these demographic statistics into homeownership statistics.
- 56% of Caucasian Millennials own homes today.
- 33% of African American Millennials own homes
- 37% of Hispanic Millennials own homes.
- 43% of Asian Millennials own homes.
These homeownership percentages are lower than previous generations. Frey, one of the demographers on this report, worries that “…this delay in homeownership may be robbing all MIllennials of a head start toward America’s traditional means of wealth accumulation.”
The likely reasons for these lower homeownership percentages among Millennials? The Great Recession, the housing crisis, student loan debt and low levels of saving. African Americans and Hispanics have seen the highest levels of declining homeownership most likely due to lower levels of savings and the fact that these demographic groups are less liable to have financial help from their parents.