5 Tips for Buying a Home When Single
Since 2016, more Canadians than any other household size—28 percent of the country's population at the time—live alone. Today, despite the fact that Canadian households are getting smaller on average, this figure keeps rising. For the first time, there are more single homebuyers than there were previously since there are more one-person households than four-person families. The average house buyer is changing much like Canada itself.
Even while single people make up a larger portion of the home buying market, it can be challenging to manage finances on your own. Singles are giving up another person's salary to help pay for the costs of having a home because they don't have a spouse to split expenditures with. Competitive prices might make buying a home by yourself a greater struggle, especially regarding real estate in hot cities like Toronto and Vancouver. Nevertheless, numerous examples of single homeowners have succeeded in demonstrating that it is possible.
Here are some suggestions to assist you to navigate the home-buying process if you're planning to do it alone.
Look for a Home that Suits Your Current Lifestyle
One of the largest financial decisions you will have to make is buying a house on your own. It's both a milestone and a significant purchase. Consider the benefits this home will provide you in your current life before deciding what type of house you wish to live in. While it may be tempting to move quickly to purchase your ideal home, keep in mind that making too many plans can be dangerous. Avoid purchasing a house that has more bedrooms and a yard area than you need.
Instead, invest in a house with just enough space for your future needs. Consider a one or two-bedroom apartment or townhouse in Toronto if you're a single person who enjoys city living. This would also provide you the space if you ever met someone special, such as a potential husband or a canine companion.
Predict Your Finances
When purchasing a property on a single income, your lender will carefully review your financial situation. In order for you to avoid defaulting on your mortgage, your lender needs you to have a stable job. The first thing you should do if your employer makes your income uncertain and changeable is to work to make it as predictable as you can. To ensure your mortgage, you might need to think about getting a co-signer, such as your parents.
Additionally, your budget may be restricted by other costs like debt repayment, taxes, renovations, and credit scores. You need to pay off your bills and raise your credit score before looking for your next house so that you may more successfully apply for a mortgage loan. It's critical to take into account the costs associated with home ownership so that your lender can see that you have a clear idea of what you can and cannot afford.
Choose a Real Estate Agent That Understands Your Needs
Your real estate agent is your resource for all the information you require on property purchases. Having said that, the majority of real estate brokers have areas of expertise. Other real estate agents specialize in working with baby boomers, some prefer assisting first-time homeowners, and some even only work with houseboats! Working with a real estate agent with experience in your position makes sense if you're a single person buying a home. Finding an agent who comprehends your objectives and can assist you in finding the ideal property is crucial because you will have different requirements than a regular home buyer, such as your financial situation.
Get a Support System
You don't have to make all the decisions yourself even when you're trying to buy a house on your own. Sometimes you need a second viewpoint to help you assess the advantages and disadvantages. Your network of supporters will be helpful in this. Bring a dependable friend or family member with you when you start viewing properties. They can assist you in fairly evaluating each home and will be able to keep you in check if you start to fall in love with one in particular. If a home is next to your preferred coffee shop, it can be simple to overlook water damage or disintegrating drywall. Your support person is there to point out those potential hazards to you and prevent you from making a decision you'll regret.
Hedge Your Bets
Finally, it's a good idea to consider rentability and resale value when looking at houses, especially if you're single. Stick with properties that typically have strong resale value and avoid picking a home with qualities that can turn off potential buyers or tenants when you want to sell the home or rent it out. For instance, given their strong demand and potential as investments, condos and townhomes might be excellent choices on the Toronto real estate market. You should pick a townhouse or condo that accepts renters if you're thinking about renting out your space in the future because some residential building managements have restrictions against it.