Celebrating the Impact of Asian Americans in Real Estate

This month we are celebrating Asian American Pacific Islander (AAPI) Heritage Month. Since 1992, May has been designated to honor the contributions the AAPI community has made to America’s culture, economy, and real estate.

From homeownership to creating thriving businesses, we are shedding light on the impact the AAPI community has had on the real estate industry.

AAPI Organizations

The Asian Real Estate Association of America (AREAA) was founded in 2003 by John Wong, Allen Okamoto, and Jim Park to help improve Asian American and Pacific Islander (AAPI) communities through homeownership. The organization offers its members opportunities to develop their business, personal skills, and professional network. In addition to real estate, the organization is comprised of AAPI leaders in the brokerage, lending, and banking industries.

Some achievements of the AREAA include:

• The #NoOther CAMPAIGN Successfully persuaded the US Census Bureau to track and include Asian housing data as a standalone category, instead of as “Other,” in its quarterly reports on homeownership by race and ethnicity.
• Translations Clearinghouse Collaborated with GSEs (the Federal Housing and Finance Agency (FHFA), Fannie Mae and Freddie Mac) to create translated resources in Chinese, Korean, Vietnamese, and Tagalog for Limited English Proficient (LEP) borrowers.
• Preferred Language Field Supported the inclusion of a Preferred Language Field on the redesigned Form 1003 or Uniform Residential Loan Application (URLA) to help capture data on LEP borrowers. The FHFA removed the question on the loan application in 2019. However, the AREAA continues to advocate to have this decision reversed.
• Eliminating the 1% Rule Helped change underwriting standards to more fairly account for student loans that were in deferment when calculating a borrower’s debt-to-income ratio.

The AREAA has 44 chapters across the U.S. and Canada and over 19,000 members. Visit their website to find an AREAA chapter near you.

AAPI-Owned Businesses

In its 2021 Three-Point Policy Plan, the AREAA points out that the Fair Housing Act of 1968 helped give AAPI communities the opportunity to “achieve the American Dream of homeownership and build wealth for their families.” As AAPI families have worked to become entrepreneurs by opening their own stores and businesses, they have added significant value to the U.S. economy and our local communities.

• According to the U.S. Census Bureau 2023 report, There were an estimated 642,950 Asian-owned businesses in the United States in 2021, and an estimated 151,933 (24%) of them were in the Accommodation and Food Services sector. Asian-owned businesses had the largest estimated receipts ($1.0 trillion) among minority race groups.
• The U.S. Census Bureau report also notes that there was “an estimated 8,324 Native Hawaiian and Other Pacific Islander-owned businesses with approximately $10.5 billion in receipts, 53,277 employees and about $2.5 billion in annual payroll.”

AAPI Homebuyer and Homeowner Successful Profiles

According to AREAA’s 2024 State of Asia America Report, AAPI families continue to demonstrate strong financial readiness, often preferring to limit debt and maintain high credit standards — making them ideal homebuyer candidates.

Here are a few more statistics about the average AAPI homeowner and homebuyer based on the State of Asia America Report:

• AAPI households have the highest median income of any racial group and consistently lead in educational attainment.
• The overall AAPI homeownership rate reached 63.2%, a notable increase over previous years. Vietnamese Americans lead with a 70% homeownership rate — the highest among all AAPI subgroups.
• AAPI borrowers maintain strong buyer profiles, averaging a 3.11% mortgage interest rate — and leading all racial groups in both average property value and loan amount.

Here at Stewart, we embrace the unique backgrounds and perspectives that our employees and neighbors share. This Asian American and Pacific Islander Heritage Month, we seek to honor and support the communities we live in and serve. Visit our Culture of Caring page to see other ways Stewart seeks to support our communities.