| Ethnic and minority marketing is a key area | | | | Where does this lead? It turns out that of new |
| where properties can differentiate themselves. | | | | households, Hispanic Latinos are 36% (50% of the |
| Over the next decade this is an even more | | | | 72%) of the total. If we extrapolate from this |
| significant fact as more than 72% of new | | | | point, we know that of total household figures we |
| households will be minority according to the 2009 | | | | conclude we are headed for much lower |
| Joint Housing Study. This implies a seismic shift in | | | | homeownership and much higher home rentership. |
| the proportion rental homes for the nation. For | | | | If this trend holds, homeownership will fall below |
| the first time since records have been tracked | | | | 50% over the next decade or two a fact no |
| U.S. homeownership is on track to move below | | | | study has explicitly recognized. Should this trend |
| the historic average of 62% toward a low 50% | | | | hold the course, besides indicating drastically |
| range (and this does not consider impact of the | | | | reduced single family household growth there will |
| housing crisis driven recession on homeowner | | | | be a equally large rise in multifamily housing |
| trends). | | | | requirements. Further, management companies |
| Since minorities have lower incomes and in general | | | | that do not address winning larger portions of this |
| rent at a greater rate than Caucasians this will | | | | demographic will struggle to maintain occupancy. |
| have a disproportionately strong effect on | | | | Spanish leasing and marketing tools are a critical |
| rentership. In fact, if we break this down further, | | | | step to address this trend. |
| U.S. census data shows that blacks rent at a | | | | Further, we believe that beyond the steps taken |
| greater than 50% rate compared to home | | | | that research toward understanding these trends |
| ownership. This jumps to more than 60% for the | | | | are key competitive differentiators. |
| Hispanic Latino population. | | | | |