The home-buying process is complex, but for individuals in underrepresented communities, the hurdles can be even more daunting. To help makes things simpler for many people, Realtor.com® is extending the reach of its buyer representation campaign with the launch of a new initiative promoting the benefits of buyer’s agents for individuals in historically underserved and underrepresented communities, including BIPOC, AAPI, Hispanic, LGBTQ+, first-time, veteran and lower-income buyers.
According to Realtor.com research, low-income earners are 22% more likely to be denied a loan, LGBTQ+ are 25% less likely to own a home compared to all Americans, one in four Hispanic individuals complete the home-buying process entirely in Spanish, seven in 10 veterans are unaware they qualify for a zero-down home loan, and the gap between Black versus white homeownership is worse today than in 1968 when the Fair Housing Act was passed.
If the commission settlements lead to increased transaction costs or reduced access to buyer representation, it could further limit the ability of these groups to purchase homes and exacerbate existing inequalities in homeownership.
With the campaign, Realtor.com is highlighting the indispensable role buyer’s agents can play in overcoming specific challenges faced by these individuals during the home-buying process. Sellers have their own agent looking out for them, and buyers need and deserve the same support and protection, the campaign is emphasizing. With access to and a better understanding of how a buyer’s agent can help, consumers can make more informed decisions during the home-buying process.
“Buyer’s agents provide essential expertise and support in the biggest financial transaction of people’s lives,” said Realtor.com Chief Marketing Officer Mickey Neuberger. “This is especially true for first-time and underrepresented buyers with limited resources or knowledge of the process. However, if the commission settlements increase upfront costs or reduce access to buyer agency, it could make homeownership less affordable to the very people who need the most help. During June’s Homeownership Month, we urge the industry to join us in being a champion for consumers, raising awareness and advocating for the advantages of buyer representation for all homebuyers, but particularly for first-time buyers and individuals in underrepresented communities. Faced with the biggest real estate affordability crisis in recent history, the last thing we should do is make it even harder for these individuals to access a chance at generational wealth.”
Since its launch on April 18, Realtor.com’s buyer agency campaign has been very successful with consumers and the industry, garnering widespread support and social shares from prominent thought leaders and leading real estate companies, including Zillow and Compass. The campaign has drawn nearly 40 million impressions and 18,000 agent toolkit downloads.
Other groups join the movement
As part of the campaign, several prominent real estate organizations are signing on to a joint letter in support of buyer agency, which will be published in the Wall Street Journal, New York Post and Washington Post throughout the next month. Digital campaign ads will also appear on the Wall Street Journal and New York Post and be shared widely across trade and social media.
The supporting organizations include the Asian Real Estate Association of America, Homeownership Council of America, LGBTQ+ Real Estate Alliance, National Association of Hispanic Real Estate Professionals (NAHREP), National Association of Real Estate Brokers and Veterans United Home Loans.
“The large majority of net new homeowners over the next 20 years are expected to be from Hispanic and other diverse communities,” said Gary Acosta, NAHREP CEO and co-founder. “The overall health and well-being of America’s housing economy will rely on these consumers having access to competent buyer’s agent representation to help them navigate through a complex and challenging home purchase process.”
Additionally, Realtor.com is launching an updated version of the “Here’s 111 things to do, or do 1 thing” campaign that highlights the benefits for underserved and underrepresented communities with customized messages for each group. A buyer agent toolkit, updated with the latest campaign creative, includes co-branded assets, such as print, digital and social ads for sharing. Realtor.com is once again encouraging industry stakeholders to join the effort and spread awareness and support.
