Tips for Single Homebuyers: How To Make Your Dream a Reality

If you’re living on your own and looking to buy a home, you should know that you can make your dream a reality! With thoughtful planning and the right team of experts, single homebuyers can qualify for a mortgage.  Research from Freddie Mac shows 28% of all households (36.1 million) are sole-person, and that number is growing. Over the past 40 years, the number of sole-person households has nearly doubled, and that’s a trend that’s expected to continue. According to Freddie Mac:

“Our calculation suggests that there will be an additional 5 million sole-person households in the United States by the next decade. This means 42% of the household growth will be contributed by sole-person households, . . .”

If you fall into this category, here are three tips to help you achieve your homeownership goals.

1. Know Your Credit Score

Credit is one of the most important factors considered when qualifying for a mortgage. Even if you are buying a home on your own, as a single homebuyer you will have to qualify for a loan based solely on your own finances and credit history. Investopedia says:

“. . . lenders will be looking at just one credit profile: yours. Needless to say, it has to be in great shape. It is always a good idea to review your credit report beforehand, and this is especially true of single homebuyers.”

It’s important to find out your score so you know where it falls. If you’re not sure if it’s strong enough or where to focus your energy to improve it, schedule time to meet with us for expert advice on your individual situation.

2. Explore Down Payment Options

Next, look into down payment programs so you can get a feel for what you’ll need to save to buy a home. Rob Chrane, CEO of Down Payment Resource, explains:

“Single homebuyers should discuss their program options with their loan officer and real estate agent to make sure they choose the program best suited to their personal needs.”

In this step, lean on the pros to determine what you’re eligible for and what’s best for you. There are also down payment assistance options that you may qualify for in your state..

3. Think About Your Future Home and Your Needs

Just because you are a single homebuyer now doesn’t mean things won’t change in the future. You should spend time thinking about what you want now and down the road.

For now, consider your lifestyle, and what you want out of your home. What type of home do you picture yourself in? If you will be living alone, the convenience and amenities of a condo may make sense. Does being close to work for a short commute matter? Or, if you are working from home, do you need extra space for a home office? If you have pets, having a large yard may be a key factor. All of these factors depend on your unique needs and budget.

A professional can help you balance what you want and how much you should spend on your monthly housing costs to determine what type of home is right for you.

Bottom Line

While buying as a single homebuyer can feel like a big challenge, it doesn’t have to be. When you choose the right team and lean on the professionals, they can help you navigate these waters and make sure you’re able to take advantage of the great opportunities in today’s housing market (like low mortgage rates) to buy your dream home.

The share of sole-person households is growing. If you’re looking to buy a home on your own, be confident that the dream is achievable. When you’re ready to begin your search, let’s connect so you have expert advice each step of the way.