I’m Single, Should I Buy a House?

Buying a home in Brisbane is often associated with people who are starting a family, or growing one. It is considered a rite of passage from the carefree years of singlehood to settling down and raising a family. Where that does leaves the singles? Is it better for singles to hold off buying a house?

Buying a house does not depend on one’s marital status. Readiness to home ownership depends on maturity, financial capacity, and one’s desire to own a real estate property.

Advantages of Buying a Home While You’re Single

You have more disposable income. Singles without children have a higher percentage of disposable income compared to married couples. They are still free of the very expensive child rearing costs. Singles are also more likely able to save as they live on their own.

Save on rental fees. Unless you are still living with your parents or crashing on your friends’ couch, buying a home will save you from paying rental fees. Instead, you will be paying the mortgage, which will build up your equity.

Early start on the real estate ownership ladder. Do not wait until you’re middle-aged to start on the investment ladder. Real estate value is always growing. There might be some fluctuations on the values, but the long term trend is always upwards. The earlier you buy a house, the better investment returns.

Pride of ownership. Ownership of homes in Brisbane signifies financial maturity, stability, and personal success. You don’t have to wait for marriage to take pride on home ownership.

Signs that you’re ready to buy a house

You have enough savings for down payment. Saving up for the down payment is the biggest hindrance for home buyers. Buying a home in Brisbane will require a 5%-10% of the home’s price as down payment.  

You prefer your own company. You’re tired of living with roommates and housemates or dying to move out from your parents’ house. You can’t wait for peaceful nights where you are free to do whatever you want, however you want.

You know where your money is going. You track your income, expenses, and savings. That’s a sign of financial maturity. You should be able to handle a home purchase.

You’re dying to build a home of your own. Do you hate how large your parents’ kitchen or how crowded your rented apartment is? Have you started fantasising on decorating your living room or building a backyard deck? You should seriously start considering buying your own home.

Tips for single home buyers;

Do not buy what you can’t afford. Be mindful of your financial capacity. Do not stretch yourself thin. Aside from the mortgage payments, insurance, and maintenance costs, allocate a budget for improvements, incidentals, and savings. Keep in mind that you will only be relying on a single income – yours.

Do not buy a house you can’t manage. Buying a big house means more maintenance work and expenses. Can you manage a huge backyard? Can you keep up with cleaning and maintaining the extra rooms you won’t really be using? Factor in the needed repairs and upgrades like roof maintenance, heating and cooling systems, and fence repairs.

Consider the resale value. This is most probably be your first home purchase. Unless you are on retirement stage, expect to be buying more homes in the future. You will need a new house when you get married, when your family has outgrown the first one, or when you change careers and relocate to other cities. Choose a home that will have a good resale value – well-built and well maintained homes in great locations are your best options.

Plan your cash flow. Aside from the mortgage payments, owning a home in Brisbane could also mean insurance and maintenance costs. Know your tax breaks and factor them into your financial forecast.

The Queensland government offers financial assistance to first time home buyers through the Great Start Grant. Read more about the grant here, and call us if you need help and guidance on your first home purchase, and for any enquiries on Brisbane homes and real estate. We look forward to hearing from you.