Women homebuyers: a force to be reckoned with

Women between the ages of 45-54 are becoming one of the fastest growing groups of single female homeowners, increasing 120 percent in the last 30 years, according to a recent study.In addition, women are usually the deciding factor in 87 percent of all household purchases and nearly 91 percent of all new home purchasing decisions are made or influenced by female buyers, according to Smith-Dahmer Associates, a marketing research company.

It’s expected that women will control two-thirds of consumer wealth in the U.S. over the next decade, according to Fleishman-Hillard, a public relations firm.

What’s that mean for Realtors®?

As this segment of the market continues to grow, Realtors® need to understand how a majority of women want to do business. First, they’re looking for someone they can trust to do business with. Women are often interested in having a personal connection to their Realtor® or receiving a recommendation from a trusted colleague or friend. That means better networking helps to not only expand our client base but it helps build rapport as well.

As you begin to work with a female client, it helps to make a connection by understanding her needs and concerns. Ask questions: Does she need to live close to her place of employment? How much property maintenance responsibility does she want? Is she a first-time homebuyer? Or has she recently had a significant life change? And really listen to her – that makes a difference and helps you select the types of homes she’ll want to see, and the pace of her home buying journey.

NAR’s Profile of Home Buyers and Sellers show that safety is the number one priority for single female homebuyers and a location close to family and friends ranks second. One of my transactions this summer involved a single female buyer who wanted to be close to her recently-widowed mother but not living in the same home.  When I listed a home just down the road from her mother, she made an offer to purchase it within the week!

I’ve also seen a number of young professional women who have decided to buy because rental prices are escalating. They tend to be interested in townhomes or condominiums because they don’t have to worry about the exterior maintenance. But when we’re working with them, we may be able to find a smaller home with a minimal yard that will meet their needs just as well.

Some women don’t want to admit they may not be savvy about the financial process of purchasing a home. They don’t know their credit rating or what’s involved in obtaining a mortgage. However a recent credit trends study by Experian reveals that women handle credit more responsibly than men, on average.

I find that women appreciate knowing the details about the mortgage application process and learning how to put their best foot forward when getting a mortgage pre-approval. You may need to gently remind a woman who lost her spouse or partner through death or divorce that her marital status and age have no bearing on her ability to obtain a mortgage.

Sometimes, the longer we’re in the business, we expect that people will take our advice because they’ve hired us for our expertise. Often, it helps if we give a little more explanation to clearly show why we make the recommendations we do. It’s those extra explanations that help build the trust so our clients feel completely comfortable with the home buying process.