Housing discrimination continues to be a concern for the LGBT community, according to a recent report from the National Association of Gay & Lesbian Real Estate Professionals (NAGLREP).
The LGBT Real Estate Report provided an in-depth look at the nation’s LGBT homebuyers, sellers and renters, and examined the continued impact of the 2015 Supreme Court’s Marriage Equality Ruling on the real estate industry.
“The real estate community spent 2018 commemorating the 50th anniversary of the Fair Housing Act. But while the National Association of Realtors’ (NAR) Code of Ethics forbids members from discriminating based on sexual orientation and gender identity, the federal law does not include full LGBT protections,” according to the report, which surveyed 485 members to gather its information.
NAGLREP, NAR and several LGBT organizations have been working to raise awareness and support for two Congressional bills – HR 1477 and the Equality Act – that would make housing discrimination against LGBTs illegal.
“NAGLREP members point out that levels of housing discrimination have increased,” the report stated. “In fact 45 percent of those surveyed believe a sizeable number of their LGBT clients will experience the same or more housing discrimination this year than over previous years. This is up slightly from 44 percent last year.”
Still, 49 percent of those surveyed said more LGBT married couples are buying homes since the Marriage Equality ruling passed – an increase of 47 percent in 2017. In addition, 28 percent of members believe unmarried LGBT couples and singles are buying more homes today than before the law.
The report also showed that LGBT clients have a positive impact on the housing market, with 41 percent of those surveyed saying a sizeable number of their LGBT clients will become move-up buyers in the near future vs. downsizers. In addition, 27 percent of members reported a sizeable number of their LGBT clients soon will purchase a second home, and 31 percent predicting an investment home purchase will happen soon for other clients.
Fifty-seven percent of members reported a sizeable number of LGBT homeowners will spend more of their discretionary income on their home, up from 55 percent in 2017.
The report also explored why LGBTs may continue to rent vs. own.
Sixty-two percent of surveyed members stated the majority of LGBT renters remain so because they are concerned about current financial status, while 59 percent believe these renters worry about long-term financial stability.
Only 18 percent of NAGLREP surveyed members believe LGBT renters are waiting to “find the right partner” before buying, and just 14 percent believe renters are waiting to get married.
Other key takeaways from the report:
- Fifty-seven percent of all NAGLREP surveyed members believe LGBT renters need further knowledge about the buying process.
- Fifty-one percent believe LGBT renters are nervous/fearful of the credit/mortgage process.
- Forty-seven percent believe LGBT renters are unaware of how mortgage payments compare to rental fees.
- Thirty-three percent believe LGBT renters are unaware of the emotional benefits of homeownership.
- Fifty-nine percent believe the high costs of homeownership in areas where LGBTs tend to live (large urban centers) is a major reason why they remain renters.