When it comes to finding lending opportunities in today’s mortgage climate, smart originators leave no stone unturned. They need all the business they can get, and that means appealing to the broadest number of potential homebuyers as possible.
Yet there is a particular market that no lender or mortgage sales professional should ignore right now – the single woman between the ages of 26 and 41. And with this demographic, traditional marketing methods will not cut the mustard. However, there are ways originators can build long-lasting relationships with this audience if they are willing to think outside the box.
Grasping the Opportunity
According to the National Association of Realtors, women are second only to married couples as the largest segment of homebuyers. This has been true for the past 40 years, in fact. However, as a customer segment, their numbers have grown while the ratio of married borrowers have actually decreased.
In 1981, roughly three out of four homebuyers were married couples, according to the National Association of Realtors (NAR). Today, only three out of five are. Meanwhile, in 1981, 11% of buyers were single women and 10% were single men. Today, 19% are single women and 9% are single men—which means you are twice as likely to have a single woman borrower than a single man.
There are several reasons why lenders are seeing more single women buyers. One of the most obvious is that the marriage rate has been declining for several decades, and that more people are putting off marriage until they have developed a career or achieved some level of financial stability.
However, family is a motivator for women borrowers. According to NAR, single women who have children or are taking care of siblings or their parents are also more likely to buy a home, so they have a stable place to live. Women are also more likely to sacrifice some of life’s luxuries to purchase a home, such as forgoing entertainment and travel plans.