Whether you’re married or single, buying a home is one of the most stressful transactions you’ll ever make. Taking on the challenge as a single person, however, comes with additional pressures and concerns. When you add this to the stress of moving somewhere new for your residency, especially when you’re on your own, a massive amount of stress and anxiety can occur. If you’re thinking about buying a home solo as soon as you relocate for your residency program, read these single-buyer pros and cons to weigh your options.
1. Pro: You’re building equity.
If you’ve ever felt sad about writing a rent check that could instead be building equity on a home, you’re not alone. In many cases, your mortgage would be even cheaper than what you’re spending for monthly rent. Saving money for a down payment, closing costs, and moving expenses is certainly more difficult for a single person. However, don’t let that hold you back. Just be patient with the process, and take your time. Don’t rush into a home that’s out of your budget. Choose a home that’s right for you.
Con: It’s more difficult for a single person to get a loan.
Single buyers don’t have the luxury of two incomes when it comes to qualifying for a mortgage. In fact, research from the Wharton School at University of Pennsylvania shows that single female buyers have higher rates of being denied for mortgages than single male buyers. To get the most bang for your buck, shop around. Don’t just go with the first lender who is willing to quality you for a loan.
2. Pro: Being a solo homeowner is a great accomplishment.
Becoming a homeowner requires effort and dedication. Doing it by yourself is a huge accomplishment! You’ll feel amazing after successfully navigating this process on your own.
Con: You might have to embrace a longer commute.
If you typically rent close to where you work, you might find that home prices in that area are way out of your budget. Or, you might choose a home farther away because you get more for your money in the suburbs. Weight your options, and choose your path wisely.
3. Pro: You’ll learn some new skills.
You might find yourself renovating the bathroom, fixing plumbing issues, painting, or installing backsplash. YouTube is a great resource for most home improvement projects, and after completing one or two projects on your own, your self-confidence will soar!
Con: Maintenance is up to you.
Upkeep and repairs can be intimidating for any homeowner. You need to have an emergency savings for those unexpected costs that spontaneously pop up. When you rent, the landlord is on the hook for major issues that need to be fixed. When you own, you’re responsible for everything.