The preferences of home buyers has evolved significantly during the past ten years. More single buyers are getting involved in today's real estate market and there are certain features in new homes they tend to prefer. Single men and women frequently want to have fast and easy access to recreational facilities like restaurants, shopping departments, night clubs, stage or movie theatres, sports events, and the like. They also desire affordable, low-maintenance housing options.
If you're single and have been considering making a home purchase, here are six questions you should ask yourself to help you make the right decision.
1. What Will You Be Doing In The Future?
Buying a new home is a big investment and the entire process takes some time. If you don't plan on staying in your home at least a few years before selling, you'll have very little equity built up and could even lose money.
Consider your current versus your future home needs during your search. If you suspect your career will require you to move sometime in the very near future, or if you just want to test out living in a different city, purchasing a home is probably not the best course of action.
While you're probably content with a smaller home right now, one day you may be in a committed relationship and perhaps even wanting to start a family. Although you might not need the extra space right away, it's a good idea to take into account your possible future plans when buying a home. An extra bedroom might be something to include ahead of time.
2. Can I Handle Living Alone?
When you buy a property by yourself, there's a high chance you’ll be living there alone, at least in the beginning. A lot of young adults purchase a home with expectations of having a roommate, but plans often change and roommates can move away at any time.
Will you be able to afford your home without a roommate? In the event they move out unexpectedly, you should not be worrying about making ends meet. Additionally, you need to know that you’re psychologically secure enough to live on your own, for at least part of the time, should you find yourself without one.
3. What About Potential Resale Value?
Buying a place to call your own is a wonderful investment opportunity. Even so, there's a lot of things in life - relationships and careers especially - that can change and cause single homeowners to relocate.
For that reason, you should consider the resale values of potential homes while you're searching. You need to know which homes or condos have popular styles and amenities that make them in higher demand, so you can sell faster if the need arises.
4. Can I Handle Repairs And Upkeep By Myself?
Depending on the style of home you choose, having your own place may mean you'll be solely in charge of any interior maintenance and repair work. This includes cleaning the house, maintaining your outdoor space, unclogging drain pipes etc. Make sure you can afford the time and effort to do these types of things.
That being said, a condo might be your best home option if you prefer the lower-maintenance, lock-and-leave lifestyle.
5. Does It Make Sense Financially?
While buying a home is usually less expensive than renting long-term, the costs required upfront are more. If you rent a home, you typically only need to pay one month’s rent and a damage deposit in advance. Keep in mind, that with purchasing a home you're building equity into a place you're proud to live in.
As a first-time homebuyer, you only need a minimum of 5% of the purchase price as a down payment. If you're still a little short on this upfront payment, don't worry! There are several special programs available for first-time homebuyers [ http://www.homefund.com/programs.htm ] that can help you come up with the cash.
6. Why Am I Motivated To Buy?
Purchasing a home for the first time as a single person is a huge decision in terms of your finances, and certainly not something to recklessly rush into. Don’t allow yourself to be pressured by anyone else into buying a new home simply because they think you should.
If you have multiple personal reasons for wanting to buy a home, you probably have the right motivations for making it happen. If not, you may want to continue renting until you know for sure you want to buy, for your own benefit.
In today's home market, the kinds of considerations listed above are becoming more and more relevant, especially among singles who want to live both comfortably and affordably. Making smart, conservative financial decisions when buying a new home might seem old-fashioned, but it is the right thing to do.
