There was a time when homebuyers were a predictable bunch as far as demographics were concerned. Most were married; many had children. All of the agents on my team could often tell just by our buyers’ ages and the ages of their children what kind of home they would purchase. Single buyers used to be rare and single female buyers were practically nonexistent. That time is over!
Single women aren’t waiting for husbands and children to dictate their home ownership goals anymore. They are becoming homeowners in greater numbers than ever before. Today, more than 25% of Canada’s home buyers are single.
Why should a single person buy a home?
Buying a home will give you the space and privacy you want along with a sense of personal pride in your home that you just don’t get when you’re renting. You have more control over your space too. You can paint, decorate and alter the space in whatever way you see fit (as long as it conforms to local codes, of course). It’s also a sound investment that even your parents will approve J
It only makes sense to buy in today’s market. If you’re currently renting you already know that rent isn’t cheap in Kitchener-Waterloo. If you’re paying between $1000 and $1500 each month in rent, you could feasibly be carrying a mortgage of around $250,000 instead of supporting your landlord’s real estate investment. Having a mortgage builds equity; it’s an investment in your own future.
Interest rates are still affordably low and there are more options than ever for single buyers. Single-family homes of the right size, despite the moniker, are a classic choice. Houses with rental potential are particularly popular since becoming a landlord is smart way to get part (or all) of your mortgage covered. Condos in Waterloo Region are also a good way to break into the real estate market without as many maintenance woes. You can resell a condo when you want a change or retain it as an investment/rental property.
As a single buyer, you’ve never had so many choices. Banks are much more open to lending to single buyers now than in the past so it’s a great time to make home ownership a priority. If you are single and looking to buy, you need to be as educated as possible about the process and I’m going to help you with that.
Take a look at our Buying Guide to begin your home ownership education. Here’s one very important thing you should know right away: as the buyer, having a real estate agent represent you costs you nothing. The seller is the one who pays the real estate fees. Begin realizing your dream of owning your own home by choosing a Realtor who will represent you, ensuring all your needs are met, and protect you as you purchase.
Tips for Single Female Home Buyers
If you are single and a considering buying a home, there are a few things you should consider a little more closely than if you were buying in tandem with another person. Since you will be the individual solely responsible for the home, you need to be even more careful about these key points.
- Know what you can afford. Again, you will be the only one making the mortgage payments. It’s even more critical that you know exactly how much home you can afford. As the only person responsible for the mortgage payments every month, it’s better to err on the side of caution. Don’t count on your lender to dictate to you how much you can afford. Calculate the costs of your lifestyle and decide for yourself how much you are willing to commit to your mortgage payment.
- Understand the whole cost of ownership. In considering how much you can afford, don’t forget the details. Home ownership is more than the mortgage payment. You will also have taxes, insurance and maintenance costs to consider. Your Realtor will be able to help you consider and calculate these costs.
- Set up an emergency fund. Home repairs can occur suddenly and some of them are costly. It’s a good idea to put money aside in an emergency fund for these unexpected emergencies.
- Protect your investment. Insurance coverage is no joking matter when you are a homeowner. You will definitely want to consult your insurance agent to inquire about how home ownership will change your coverage needs. Click here to read an article we published about what insurance covers if you have water damage. What coverage should you have on the structure itself? Do you need liability insurance on your home? Outside of coverage for your new home you will want to find out – who will pay my mortgage if I become injured or disabled? Make an appointment with your insurance agent or broker before your home purchase and be sure all of your questions are answered so that you protect your income and your home.
- Avoid costly mistakes. Don’t rush into your home buying decision and don’t compromise your budget. Mistakes in the process of purchasing a home can be financially devastating; take your time and get expert real estate advice throughout the process.
This is an excellent time to be a single homeowner. Read over our Buying Guide and give us a call to start making your home ownership dreams come true.
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