Historically, women have been paid less than their male counterparts, which has led to a pay gap. Additionally, women tend to stay home longer after childbirth. These factors can work against women, affecting their credit profiles, incomes, and credit ratings, creating disadvantages when applying for credit. Over the past 15 years, legislative efforts have helped close these gaps, but significant work remains. According to 2019 statistics provided by Women in the Housing & Real Estate Ecosystem (NAWRB):
- Women earn about 80 cents for every dollar a man earns, or 25% less than men.
- Homes owned in the U.S. by single women are worth less than those owned by single men.
- Homes owned by single men are worth 10% more than those owned by single women.
- Homes owned by single men are 16% faster than those owned by single women.
Despite the inequity, women have much more buying power. According to a 2019 National Association of Realtors Report, single women are the second-largest group of homebuyers, exceeded only by married couples. Single women accounted for nearly 20% of the home purchases in 2019, while single men accounted for only 9%. A recent report from LendingTree says single women own more than 1.5 million more homes than men in the country's 50 largest metro areas.
So why are single women so active in the home-buying market? A 2018 Bank of America Homebuyer report states that 73% of women say owning a home is a top priority, while only 65% of men say it is. Rising rents may also be a factor. In a study conducted by Builders Digital Experience, 23% of single women cited rising rents as a reason to buy a home, compared with the 16% average for all recent buyers.
Jody Fox, a real estate broker in Kansas City, says she's seen changes in home-buying behavior among single women over the years. "Single women homebuyers are out there, more now than when I began selling homes 20 years ago. The information on the home-buying process that was once very vague is now plentiful online. Women are confident and assured of their actions and seek professional realtors, mortgage bankers, and inspectors they can trust. The single women I have had the pleasure of working with want information. I make sure to be very direct with the expectations of their transaction. This is only the beginning: women who once thought buying a home was out of reach now realize it is the best investment they can make for themselves. We are invincible if you didn't know!"
Even as the gender pay gap shrinks at a much too slow pace, single women's buying power will continue to shape the future of home purchases. If you have questions about purchasing a home, contact the experts at NASB at 888-661-1982.
