Daily Archives: January 23, 2009

By: June Russell

Gone is the idea that Prince Charming is going to come along and take you away from all of this… or buy a home together.

More women than men were first-time buyers in Canada, says a recent survey.

A Royal LePage Real Estate Services survey found 51 per cent of women were first-time buyers, compared to 49 per cent of men in a Survey conducted a few years ago…and that trend is continuing at a stronger pace.

55 per cent of the women surveyed at that time said they expected to buy their first home soon, compared to 45 per cent of men.

In an article, Dianne Usher, a vice-president with Royal LePage RES. Ltd., Johnston & Daniel Division, says: “Single women are not only more independent today, but many are also earning higher incomes.” They’re also financially astute.

How are they doing it?  In some cases the down payment may be as a result of an inheritance or a loan from family.  In situations where this isn’t the case many are taking advantage of the reduced down payment requirements implemented a few years ago by CMHC. Previously any down payment less than 25% required that the remaining mortgage be insured. The requirement for insured mortgages is now between 5% and 20%. Lower interest rates have also benefited this segment of the market greatly.  At the time of writing this article it is possible to obtain a 5 year rate (best posted rate with qualification) at 4.39%.  The article promoting this rate had a caption of “How Low Will They Go?”

Condominiums seem to be the obvious choice for the female buyer.  Easy maintenance, a safe neighbourhood and security systems are of concern when making their choices.  With Toronto’s many neighbourhoods, there are a lot of options that would fill these criteria.

I have seen many instances recently where I have sold to a single person, only to have them call a few years later, advising me that they have met someone and now they are going to buy their first house together.  Their Condo was a great “first step”

It is anticipated there will be a larger percentage of first time buyers (including women) this year with the current climate of low interest rates as mentioned, more negotiating power with the increased inventory of new condominiums and homes remaining on the market longer.

The first step in making a purchase is to get “Pre-Approved” and sit down with your Real Estate Representative to discuss cost, procedures and options.

Be part of the trend!

June Russell is a Broker with Royal LePage R.E.S. Ltd. – Johnston and Daniel Division.  June is a regular contributor to the Muddy York Blog. June’s Web site is located at www.junerussell.ca