Latinos living in major U.S. cities like New York City face significant challenges when it comes to building wealth. Data shows that Latinos outside of New York City tend to have much higher net worths. In fact, the median net worth for Latinos in New York is only about $6,000.
A major reason for this disparity is the lack of property ownership among Latinos in New York City. Combined with the city’s extremely high cost of living, it becomes difficult to save or invest in other forms of wealth. Homeownership, in particular, plays a critical role. When comparing across states, areas with higher rates of Latino homeownership also show higher median household net worths.
In many ways, this suggests that Latinos living in New York might be better off relocating to more affordable areas—places where homeownership and wealth accumulation are more attainable.