According to Bloomberg Business, single females will likely become a more substantial demographic entering the housing market. Historically, single women have bought more homes than single men.
"A lot of people, myself included, take pride in owning a home," said Katie Abbott, a lawyer from Portland who invested in a new home, according to USA Today."There's no reason that it (homebuying) should be limited to only if you're married."
Zillow reported that only 40% of today's first-time homebuyers are married. Two decades ago that statistic was 52%. More individuals are putting off marriage, but that doesn't necessarily mean they are also putting off the purchase of a new home. Many single people feel they are prepared to invest in a home of their own, independent of their marital status. And as it turns out, women are driving the market.
Single female homebuyers will likely bolster the housing market. Following the housing market crisis in 2008, the percentage of single women purchasing new homes fell from 21% in 2009 to 15% in 2015. However, experts believe women will become an important demographic moving into the new year.
Traditionally many of these buyers have stretched budgets when applying for a U.S. home mortgage. According to Zillow, first-time buyers are purchasing houses worth 2.6 times their incomes.
"They are making sacrifices financially because they have a really strong desire to be a part of a community," noted Jessica Lautz, the managing director of survey research for the National Association of Realtors®.
However, higher wages and an improving job situation support individuals looking to purchase homes.
As a higher number of these single women decide to invest in real estate, the market could benefit from greater buyer demand.
In addition, historically low interest rates, despite the Federal Reserve's recent decision to raise rates, make investing in a new home more appealing than ever. For those who are considering this substantial investment, now is a great time to secure a low rate to achieve their own American Dream.
Academy Mortgage is one of the top independent purchase lenders in the country as ranked in the 2014 CoreLogic Marketrac Report. Give us a call today and find out why!