Satisfying the single homebuyer

THE American Dream of owning a home--once reserved for the two-income family and 2.5 kids--has taken on a new dimension. Today, financially independent singles, confident and self-assured, are becoming homeowners.

"Single homebuyers can no longer be ignored," says David S. Jones in the Journal of the Real Estate Center at Texas A&M University. "They used to represent a relatively small total of the home buying market, and builders and agents gave them little attention. All that has changed. Today, the influence of the single homebuyer is significant."

Christina Foster, a 32-year-old finance executive in Chicago, recognized her buying power and decided to purchase her first home, a condo, after paying increasing rental costs for four years. "Because I'm young and single, I purchased in an 'up and coming' area. Although the area was still in the process of improving, I knew that the payoff would be big when I decided to sell ... and make money on it."

And so she has. After only three years in her Bronzeville condo, Foster's first purchase, now on the market, has appreciated $60,000. Although she is enjoying a substantial profit, she admits the process was not without challenges. "Initially, I was a little apprehensive because if something goes wrong as a homeowner, you're responsible," she says. "But I did my research before I signed on the dotted line."

Like Foster, Ania Collins, a CPA in the Midwest, made her first purchase, a fixer-upper, in Chicago's South Shore and recalls the initial obstacles. "Sellers had their perspective on who should buy. They would ask, 'Oh, you're buying this place all by yourself?' So, I'd get a lot of eyebrow-raising, despite my higher-than-average income and good credit."

For many years, women, especially Black women, were systematically discriminated against in the housing market, and Black males faced more than the usual obstacles. Since the '60s, that level of discrimination has decreased. But if you have the money and wherewithal, and are asked undue questions during the process, contact local housing officials.

Before deciding on her place, Collins requested the opinion of a professional contractor to estimate the amount of repairs or improvements. "As a single person, you want to make sure you visit properties with someone, preferably a contractor, if you're buying a place that will need some work," she says.

For interested singles seeking to purchase, real estate experts suggest determining what you can afford as the first step. If the property will require repairs, you must factor in those costs. Next, get a professional inspection and talk to the people in the neighborhood where you are considering buying. Find out how long they've lived there and if they are satisfied.

Additionally, Collins, a CPA for eight years, says, "Once you get financed for a certain amount, try to find a property priced under that amount. That way, you can begin to build equity in your home sooner than later. Use the bank's qualifying amount as a guide, not as a ceiling."

Safety is an important consideration for both male and female single homebuyers, and research suggests that single homebuyers are creating trends in the housing industry. On average, they tend to purchase smaller homes, condominiums, townhouses or co-ops. However, as their household expands and their income increases, they are more likely to become repeat buyers.

In the long run, buying a home is an invaluable asset. So, if you're ready, take hold of the American Dream and make your home your own today.

COPYRIGHT 2004 Johnson Publishing Co.
COPYRIGHT 2004 Gale Group