Your intuition can probably tell you that married couples are the largest home-buying demographic. It makes sense: between family and financial goals and the purchasing power of two people, married couples have both the incentive and the means to purchase homes. But married couples are not the only buyers. Single women make up the second largest buying demographic, ahead of single men and unmarried couples.
According to the National Association of REALTORS® 2016 Home Buyer and Seller Generational Trends report, 15% of recent buyers were single women. This number may not appear to be that large to some readers, but considering 67% of buyers were married couples and the next largest buyer demographic—single males—only accounted for 9% of buyers, it is quite evident that single women are a substantial buying force.
The highest percentage of single female buyers falls in the 51-60 year-old age range, where they actually make up 20% of buyers. 19% of buyers aged 61 to 69 are single females. Thus, this single female buyer demographic is on average a bit older than the typical buyer. This is not to suggest, however, that younger single women are not also buying homes—they make up 13% of buyers in both the under-35 and 36-50 age groups.
There are a few other statistics to keep in mind to contextualize what we know now:
· First time home buyers made up 32% of buyers
· The typical buyer was 44 years old—younger than the average single female buyer
· 77% of sellers were married couples—singles and unmarried couples thus account for the other 23% of sellers
So, what’s the takeaway for real estate professionals? How does this impact your business? It is important to keep an open mind and forego any conventional wisdom that leads you to limit your network. Married couples might make up the majority of active buyers, but there are other demographics—most notably single women—that are active buyers and sellers. Think about ways to expand your network to better utilize this knowledge.
Any comments or questions? Let me know below!