Considering homeownership as a single person? You’re not alone. According to the National Association of Realtors, single women made up 24% of all homebuyers as of 2024 and single men made up 11%. Keep reading to find out some unique perks and challenges that come with buying a home by yourself.
Why more single people are buying homes
Many people see homeownership as a financial investment, so it makes sense to be interested in purchasing a home regardless of your relationship status. Buying a home gives you the opportunity to build equity in that home over time, and no rules say you have to be coupled up before you can take this financial step.
Read more: 10 ways to save for a down payment
While some single people may choose to buy a home with friends or family members, others simply prefer to live alone. What’s more, with more people marrying later in life or not at all, naturally a bigger proportion of single buyers would be seeking homeownership.
Buying a home gives you the opportunity to build equity in that home over time, and no rules say you have to be coupled up before you can take this financial step.
Challenges for single homebuyers
If you’re ready to buy a home on your own, you may face some hurdles that are a bit different than those who are buying a home with others. But with some tweaks to your approach, you can overcome them.
Lower annual household income
Buying a home as a single person means you’re relying on only your income. While it can feel intimidating, you may just need to take a bit more time to save up for expenses like a down payment and closing costs. With smart tools like buckets and boosters, features of Ally Bank’s Savings Account, you can supercharge your savings to help reach your goals faster. You might also consider a side hustle or seek a raise at your full-time job to help make your dream of homeownership a reality.
More challenges to mortgage approval
Getting approved for a home loan is a big part of the homebuying process. As a single person, it may be a bit more difficult as you’re relying on just one credit profile and income to secure a loan. Be realistic about how much house you can afford. Explore your approval options to find the best fit for your situation. Make sure your credit is in tip-top shape. If it could use a boost, take steps to improve your credit score.
Advantages of buying a home solo
Although buying a home as a single person comes with its fair share of challenges, there are some definite upsides as well.
Total autonomy
When you buy a home as a single person, it’s all on you. That might sound scary, but it can also be freeing. The neighborhood you choose, type of home you buy, and even how you decorate and customize that home is all your choice — no compromise necessary!
Purchasing a home with a partner or family member or friend usually means you need a certain amount of space and must accommodate everyone’s needs. As a single buyer, you likely have more flexibility when it comes to size and layout than you would if two or more people were moving in.
Financial freedom
You also have total independence when it comes to how you will finance your home. The lender you pick and the terms of your loan are your decision alone.
Flexibility to pivot
Life circumstances can change. You may decide to pursue a new career that requires a cross-country move. You might meet a partner and decide to move in together. You can decide to sell or not on your own timeline if your circumstances change.
Best types of homes for single people
The best type of home for anyone is one that fits their lifestyle and financial requirements. Here are some factors to consider:
Location: Consider how far you’re willing to be from your everyday spots, such as work, grocery stores or local friends and family.
Space: Think about your lifestyle. If you work from home, maybe you want a dedicated office space. If you’re a homebody, you might opt for something more spacious, whereas if you’re traveling most of the year, maybe something smaller will suffice. Consider guest spaces, too, if you’re someone who loves entertaining.
Monthly cost: Of course, your monthly payment needs to fit your budget, so do the math to figure out exactly how much house you can afford.
Besides these factors, remember homes come in a variety of sizes these days. If you’re looking for a one-person home, there’s so much beyond standalone homes. Think condos, townhouses, tiny homes or studio lofts.
Embrace solo homeownership
If you’re ready to buy a home as a single person, don’t be afraid to take the plunge. Prepare for the challenges and make the most of the benefits of buying a home on your own.
