ABSTRACT
Ethnic segregation is influenced by individual preferences among ethnic minorities (and the native majority) for housing and location. This chapter examines whether ethnic minorities have different preferences for housing than the native majority, which might be an important factor in their choice of residence.
Cultural factors have some importance for ethnic minorities’ housing preference. There has been pointed out that some minorities have preferences for living in extended families or feel obligations to house family and friends who cannot find a dwelling. Of importance is also when and how young people leave their parents’ home. It affects the housing needs of both parents and those who leave.
The special position in society for immigrants also has an essential importance for if ethnic minorities prefer and can obtain homeownership. Some have traditions that make them use their incomes and savings for other purposes, e.g. starting their own businesses in small shops, investments in property in their country of origin or sending remittances to family members there. The most important reason for lower homeownership rates among ethnic minorities might be, however, that many of them are uncertain about their future and have short-term and unstable employment.
