The Asian American and Pacific Islander (AAPI) community continues to rapidly grow in the U.S. leading to an increasing rate of homeownership. However the rate (55.6%) falls behind non-Hispanic whites (71.9%) and the national average (63.5%) showcasing the significant opportunity to increase outreach and sales towards AAPI potential home buyers. In this session, the speaker will present demographic insights and marketing techniques to reach this key segment. Participants will learn how to cultivate a trusting personal connection and look for cultural cues to better engage this group, along with best practices in marketing and customer service.

1. Hosted by National MI
Effective Marketing Techniques for
Reaching Asian Homebuyers
By: Kristin Messerli, Cultural Outreach
Kenny Truong, Climb Real Estate

2. What is Cultural Outreach?
Multicultural & Millennial
Marketing
Social Media Engagement

3. National MI Partnership
NMI has partnered with Cultural
Outreach Solutions to provide you with
content to support your leadership in
the industry.

4. Coming Soon...
Interview with Juan Rodas
(SVP Secondary Marketing,
First Guaranty Mortgage )
Infographic: Social Impact Can
Boost Business

5. Speakers Kristin Messerli & Kenny Truong
@KristinMesserli
kristin@culturaloutreach.net
@fastagent
kenny@climbre.com

6. TABLE
OF
CONTENTS
Demographic Trends
Behavioral Trends
and Values
Marketing and
Customer Service
Best Practices

7. Demographics
Get to know this growing market
Section 01

8. Growth
AAPI is the fastest growing demographic in the U.S. in terms
of natural born citizens and immigrants
By 2055, AAPI will be the largest immigrant group at 38%
1
Source: State of Asia American Report, AREAA, 2017

9. Homeownership rate of AAPI is 58.12%
(1.5% increase from last year and continues to build)
Source: State of Asia American Report, AREAA, 2017

10. Where is the growth occurring?
• South: 33% increase
• Midwest: 29% increase
• Northeast: 26% increase
• West: 21% increase
Source: State of Asia American Report, AREAA, 2017

11. Multigenerational Households
26% live in multigenerational households
2
Source: “Key Factors about Asian Americans”, Pew Research, 2017

12. Diverse Nationalities
High concentration of immigrants: 73% of
Asian-American adults were born abroad
3
Source: State of Asia American Report, AREAA, 2017

13. Source: Nielsen, Asian Americans: Culturally Diverse and Expanding
Their Footprint, 2016

14. Behavioral Trends and Values
Understand how cultural values shape consumer behavior
Section 02

15. Buying Power in Housing
1

16. Overall Economically Wealthy
● Median income ($73,000) is
36% higher than U.S. median
household
● Purchasing power expected to
top $1 trillion this year
Source: Pew Research 2017, State of Asia American Report, AREAA, 2017

17. Financially Conservative
● Limited credit history and tend to
pay in cash
● Asian Americans tend to have
higher credit scores, low APRs,
lower DTI, and lower LTV ratios
Source: State of Asia American Report, AREAA, 2017

18. Despite typically having buying power, AAPI
homeownership rates are less than U.S. average by
nearly 7%
Source: AREAA, State of AAPI Housing, 2017

19. Not all AAPI’s are wealthy and paying in cash!
Propensity towards MI (Filipino, Asian Indian) and
aversion to government loans
26% of AAPI’s are considered low income
Source: tate of AAPI Housing, AREAA, 2016

20. Cultural Connection
2

21. Use of Native Language
● 77% of AAPI speak a language
other than English at home
● 35% of the AAPI is considered
Limited English Proficient (LEP)
Source: State of Asia American Report, AREAA, 2017

22. The Significance of Understanding Culture
Hyepin Im,
Founder of FACELA.org

23. Cultural Values and
Traditions
● Providers need to learn and be
familiar with cultural traditions
that affect buying decisions
○ i.e. holidays, family dynamics

24. AAPI Women
3

25. AAPI Women
● Between 2000-2015, AAPI
women were the largest
immigrant demographic
● Young, entrepreneurial, tech
savvy and driving economic
growth
Source: State of Asia American Report, AREAA, 2017

26. Income & Entrepreneurship
● Average household income with
an AAPI female earner is
$105,604
● AAPI women are majority or
equal owners of 43% of all AAPI
owned businesses
Source: State of Asia American Report, AREAA, 2017

27. Technology Adoption
4

28. Tech Savvy
● Outpace general market: display
the highest percentage of monthly
users for multimedia devices at
48%
● Smartphone usage of apps and
internet is highest amongst Asian
American adults with 16
percentage points greater than
U.S. average
Source: Nielsen, 2017

29. Marketing and Customer
Service Best Practices
Strategies for outreach and building connections
Section 03

30. Cultural Connection & Family
1

31. Understand the diversity of backgrounds
in your area

32. ● Invite other family members into
initial meeting
● Younger Asian American buyers
are more likely to bring their
first-generation parents more
deeply into the transaction

33. Recruit loan officers representative of your
market and partner with Asian American
agents

34. Use Translation Services
2

35. 77% of AAPI speak a language other than
English
4 out of 5 prefer in-language financial
materials
State of Asia American Report, AREAA, 2017

36. Have a Strong Mobile Technology Strategy
3

37. Know which apps to suggest to support the
homebuying process

38. Use video to communicate value of working
with you

39. Social Media
4

40. ● Share relevant content
● Partner with appropriate
influencers
● Make sure you are accessible via
social media

41. Source: “Digital Diversity: Winning Asian Americans on Social Media”, Aparternship, 2017
● Note that there are
non-mainstream apps that are
commonly used to keep in touch
with family
● Apps that cater to international
messaging and money transfers

42. Questions?

43. Access free resources at
www.culturaloutreach.net

44. culturaloutreach.net
kristin@culturaloutreach.net
kenny@climbre.com