Many people are surprised to learn that since 1981, when the National Association of REALTORS started tracking household composition, single women have been the second largest homebuying group—behind married couples. Statistically, single women tend to earn less and have smaller bank accounts than their male counterparts, but that hasn’t stopped them from becoming a powerful group in the housing market.
Women are on the move and the homeownership gap between single women and single men continues to grow. In the past three years, the percentage of single female buyers has grown from 15% to 18% of total buyers.
What drives more women than men to buy? For starters, single women prioritize homeownership more than single men—73% versus 65%, according to a study conducted by Bank of America. Independence and empowerment are two other leading factors motivating women to buy. Single women prioritize homeownership over other traditional life priorities such as getting married and having children.
Female buyers aren’t just young first-time buyers. The numbers are increasing for older generations as well. Women make up nearly 25% of the homebuying population. Single female boomers are one of the largest segments of our population. The increase in divorce rate, which is up 109% since 1990, is a contributing factor. With increasing divorce rates, more previously married women need their own home than ever before. Another factor is that women are simply outliving men. The average life expectancy for women is 81, four years longer than men.
Motivation may be different for everyone. Some are looking to build equity, gain independence, escape rising rents, downsizing, or looking for a clean start. As women begin to control more wealth than ever before, female homeownership is expected to continue to rise.
Men are more willing to postpone the first home purchase until they have found someone to settle down with. Women tend to be more independent and are more likely to take control of their housing and financial future.
