American singles in their late twenties and early thirties believe that buying a home is a huge step towards securing their financial future, a new survey found.
The study, conducted by Century 21 Real estate, found that about 75 percent or three quarters of the respondents said that homeownership was of extreme importance to them.
For the survey, the researchers used an online questionnaire to poll 1,462 homeowners of which 675 were single, from May to June 2014.
According to the research, singles wanted to buy homes on the basis of three basic reasons:
- They thought it was the right time to buy a home
- They were tired of paying the rent
- They thought buying a home would secure their financial future.
"We are in the midst of a shift in the home-buying population," Rick Davidson, president and chief executive officer of Century 21 Real Estate LLC said in a statement.
"This survey shows that home ownership is a major life decision for singles and that it is just as important a part of the American Dream for them as it is for married couples," he added.
Last year, the Census Bureau said that about 33 million Americans now live alone. Single buyers make up more than a quarter of the total home-buyers market, according to the National Association of Realtors.
The trend of going solo or living alone has been picking up pace for some time now. Statistics gathered by research firm Euromonitor International show that the rate of people living alone has gone up from about 153 million in 1996 to 277 million across the globe. Sweden has the highest number of single households with 47 percent followed by Norway at 40 percent.
The Century 21 study also echoed the statistics claiming that more single buyers were ready to make major lifestyle sacrifices to pitch in for a house. Sixty percent of the respondents said they would avoid dining out to save for a house, 51 percent said they would cut back on vacations and 54 percent said they would minimize spending on entertainment.
However, the survey found that these potential home buyers thought that the home-buying process was intimidating. In a separate research, Discover Home Loans found that a huge number of Americans found the mortgage-application process confusing and stressful.
"The sheer amount of information can lead to confusion and stress. Those looking to purchase should work closely with their lender and realtor to make sure they are comfortable with mortgage terms and understand the impact a loan will have on their finances," said Cameron Findlay, chief economist at Discover Home Loans suggested, according to a statement.
With rent prices rising at shutter speed, home ownership has now become a more viable option than leasing. But the Century 21 Survey, however, contradicts a poll by CNN Money that found that the American Dream of owning a home was slowly fading away.
What's your take on home ownership? Sound off in the comments below.
