The value gap between homes owned by Hispanics and those owned by non-Hispanic whites is the narrowest ever observed, according to a new report by Zillow.

Zillow found that Hispanic-owned homes are currently worth 11.9% less than the average home owned by non-Hispanic white households. That figure is down from 12.1% in 2023. The gap has been much wider in the recent past, reaching 18% in 2012, in the wake of the global financial crisis in 2008, which impacted minority communities more than white communities and set back progress to reduce the home value gap.

The home value gap fell in more than two-thirds of the nation’s largest 100 metropolitan areas during the past year. Some of the cities with the smallest value gaps included Lakeland, Florida, and Jackson, Mississippi, both with gaps of just 0.2%. Other cities with minor value differences include Cincinnati, Ohio, with a 0.4% gap and Pittsburgh, which boasted a gap of 1.8%.

At the other end of the spectrum, one of the largest value gaps was found in Los Angeles, at 32%. However, that distance had fallen 0.75% in the past year. Other cities with large gaps include San Jose, California (29.5%) and Bridgeport, Connecticut (28.9%).

Black homeowners face a greater value gap than Hispanic homeowners, according to Zillow. The report found that the average home value gap between Black homeowners and non-Hispanic white homeowners was 17.7%. While that gulf narrowed during the past year by 0.2%, it is wider today than it was in 2022 (17.2%) and prior to the financial crisis in 2007 (16.3%).

Despite the improvements in valuation, homeownership for Hispanic families can still be a struggle. According to Zillow’s recent Consumer Housing Trends report, Hispanics represent 18% of prospective homebuyers, but only 13% of successful purchasers. They also tend to face higher mortgage fees when purchasing a home, with payments averaging $2,812 compared to the national average of $2,072. Hispanics borrowers, additionally, face higher denial rates, with 18.8% being denied, compared to 10% of non-Hispanic white borrowers. This is often because of elevated debt-to-income ratios, which account for 38% of denials.

“Homeownership stands as a cornerstone for building wealth, yet systemic barriers have unfairly hindered many people of color from acquiring homes valued comparably to those of their white counterparts,” wrote Treh Manhertz, Zillow senior economic research scientist, in the report. “Efforts to improve access to down payment assistance, credit-building programs, zoning reforms, and affordable housing construction and preservation in desirable areas are key initiatives to help this progress continue.”