With singles representing one of the fastest-growing demographic groups in Canada, buying a home solo may just be the next coming trend.
According to a recent study, about 20 per cent of Canadian home buyers are single and of that number about 45 per cent are women. In fact, Statistics Canada Census data shows that for the first time ever there are more people living alone in Canada than there are couples with children. Households of one comprise 27.6 per cent of all homes. That's three times as many since 1961.
If your stability quotient is high – you've been at your job a while and you plan on staying in the same city - buying is certainly a better option than renting given today's low interest rates. But there's no doubt that saving up for a down payment will be more challenging with only one income to depend on. Ditto that for your monthly mortgage payments, condo fees and the maintenance that accompanies home ownership.
Since 35-year amortizations have been eliminated, qualifying for a mortgage as a single person makes it that much harder. You might want to consider asking a parent or a close friend to co-sign your loan.
You should also consider your lifestyle. With more of your income going to your new house or condo, you may not be as free to spend your earnings on pricey clothes, dinners out and exotic travel.
What will your chore list be? If money is a concern, you probably won't be hiring someone to shovel snow, cut grass and wash windows. Do you have the extra time for these jobs?
Choosing location should be as equally important a decision as a couple buying a home, perhaps even more so. As someone who lives alone, you'll want to be safe and secure in your new digs, so check out the neighbourhood's crime rate. Install a security system. You should also walk the neighbourhood to see how safe you feel.
Flying solo on your home purchase may seem daunting but with the right preparation and research, buying a home should be a breeze.