A Larger Percentage of Home Hunters are Single Buyers According to NAR
In my experience, most single home buyers possess impressive buying power and tend to look to the future. There is little to distinguish the wants and needs of a single home buyer from those of a family. The one subtle contrast, if indeed there is one, might be that the actual financial investment is likely a single home buyers main focus, whereas the spotlight of a family purchase tends to be more on livability.
By Keith Loria
According to the National Association of REALTORS® 2016 Home Buyer and Seller Generational Trends study, 15 percent of homebuyers were single women and nine percent were single men. This equates to almost a quarter of all homes being purchased by single people—the largest percentage ever.
If you’ve never entertained the idea of marketing your home to a single buyer because it has too many rooms or is located in a neighborhood full of families, you may want to think twice. In fact, selling to a single buyer may be easier than you think because comps in your area are thinking the same thing. By making a few adjustments to the home and/or listing, the single buyer is a segment that sellers can easily appeal to.
While the days when unmarried people—especially women—were thought to be giving up on the prospect of marriage if they bought a home on their own are gone, savvy singles understand that real estate is an investment, and more likely than not, they can probably get a price that won’t stop them from enjoying their single lifestyle.
Even with millennials flocking to apartments in live/work/play areas, this type of lifestyle isn’t for everyone, causing many to decide that it’s time to leave these apartments behind and find a home of their own.
Plus, many single buyers are concentrating on their careers and still envision getting married and having kids at some point in the future. Others may be divorced and looking to start fresh.
In her book “Buying a Home When you’re Single,” Donna Albrecht walks readers through all the steps associated with searching for a home, getting pre-qualified, finding an agent and going through the escrow process.
“Before anyone buys a home—single or not—they need to consider what they want their future to look like,” says Albrecht. “If kids are a big hope, buying a studio condo could be a mistake. Going the other route and buying a five-bedroom place may not be the best idea either.”
When you’re single, buying a smaller home with two bedrooms or less has a number of advantages. The lower purchase price will likely net you a mortgage payment that’s lower than rent, and you’ll also save on utilities, maintenance and cleaning costs. In addition, you’ll have fewer rooms to furnish and decorate.
And last but not least, a smaller home will be easier to sell when you’re ready to move. Single buyers know that their circumstances may change, so they should be prepared. Making sure the home can be easily sold or rented out is often of utmost importance to this group.
With the growing number of single people taking advantage of today’s low mortgage rates and the current housing market, making sure your space appeals to single buyers can make all the difference.
To learn more about what you can do to help your home stand out to single buyers, contact our office today.
Reprinted with permission from RISMedia. ©2016. All rights reserved.
Ever wonder what Closing Costs you’ll be responsible for when you buy or sell a home? Check out our infographic and article:
Who Pays for What?
— — —
What is standard and legal procedure in a Real Estate transaction?
Offers and Agreements 101
Additional Helpful Information for Home Buyers
— — — — — — — —
Help for Home Sellers
Order a Market Analysis Online
