Smart Moves

It's no secret that many young people are marrying later or not at all. Yet, surprisingly, many want to buy a home anyway.

"More young folks are delinking homeownership from marriage. They want the personal freedom of staying single along with the predictability of not facing constant rent increases," says Merrill Ottwein, an Illinois real estate broker and past president of the National Association of Exclusive Buyer Agents.

Many of these young would-be buyers want to live in cities.

"I've never had a single client who says they want to live as far as possible from town. Once they're out of school, they want a surrogate community where they can meet their friends on foot," says Deborah Rutter, a real estate broker who sells homes near the University of Virginia campus.

Sid Davis, a veteran real estate broker and the author of "A Survival Guide for Buying a Home," doesn't advise just any single buyer to purchase a property. He recommends against buying if your job is rocky or you expect to go on to graduate or professional school in the near future.

"If you could be moving in five or fewer years ... you probably should abstain from buying a house now. That's because your transaction costs could more than wipe out any appreciation you might enjoy," Davis says.

Be especially careful to avoid short-term ownership of a brand-new house, says Davis, who points out that a new property typically requires some expensive initial fix-up costs, such as landscaping, fencing and window treatments.

But if your life is on a steady course and you perceive that real estate values are on the upswing in the area where you live, don't let your single status keep you from making a purchase.

Here are a few pointers for single buyers:

-- Stay within your financial comfort zone.

Years after the real estate downturn, mortgage lending standards remain rigid. Still, as Ottwein says, it's possible for single homebuyers, or anyone, to borrow more than is prudent for their lifestyle.

"Remember that the people who make mortgages know nothing about your spending priorities," he says.

Also, keep in mind that as a single person living alone, you're financially more vulnerable to the impact of an unexpected job loss than someone with a second wage earner supporting the household.

"Single people should be especially cautious about maxing out on a home loan. Go ahead and buy a place, but avoid becoming 'house poor' because of it," Ottwein says.

-- Seek a "roommate suitable" property if you can afford one.

After sharing space with roommates in college dorms or living with friends in rented apartments, you may be looking forward to living alone in the home you buy. Still, Ottwein encourages you to consider a property that would be attractive to potential roommates, should you one day need the rental income to offset your mortgage payments.

What sort of property would be most alluring to roommates? Ottwein suggests you look for a place with a bedroom suite that includes a private bath -- so a roommate could live more autonomously. A separate, outside entrance to the suite would be ideal. And a property located near a college or university campus, where demand for rentals is strong, could also be a good bet.

-- Seek an energy-stingy home.

After moving in, many first-time homebuyers are surprised by the size of their outlays for home upkeep. They hadn't expected to spend so much for everything from plumbers' bills to lawn fertilizer. The size of their utility bills also comes as a shock.

Obviously, some costs associated with homeownership, such as taxes and insurance, are unavoidable. But home shoppers can more easily contain some costs by selecting an energy-efficient property that's well insulated and has substantial, double-pane windows, says Davis, author of "Your Eco-Friendly Home."

"Don't try to project your future energy costs based on what a home's sellers have been paying during the last 12 months. Energy prices are always subject to the vagaries of the market. Plan for the worst-case scenarios," Davis says.

-- Factor your social life into your buying plans.

If you're like most young single people, your social life is hugely important to you. Even if you expect to outpace your friends in the quest for homeownership, you won't want your move to result in social isolation.

You don't have to live in the immediate vicinity of your friends to stay in touch. But you'll want to avoid buying a property many miles from your closest friends, even if that's the most affordable choice.

"Granted, you can probably get more square footage for the money if you move far out of the city. But very few singles are happy rattling around in a big house if they're socially isolated because they live an hour away from their buddies," Ottwein says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)

An artist in her late 50s is planning to sell her modest three-story house in Minneapolis so she can retire to a small condo near Phoenix. But prepping her place for sale seems like an overwhelming project.

Though tremendously creative, the artist suffers from a problem with "executive function." This means she finds it very difficult to initiate, plan and pursue projects in a methodical, step-by-step manner.

Linda S. Anderson, the owner of organizational firm Getting Clear, doesn't know the artist in this true story. But she's coached many adults who are equally perplexed when facing a major multi-step project.

Poor executive function is an issue for many who've suffered brain injuries or post-traumatic stress disorder. It's also nearly a universal problem among people with attention deficit disorder (ADD or ADHD).

As an ADD coach, Anderson has worked with a number of adults with impaired executive function who are facing the challenge of planning and executing a home sale. The "to do list" is long for homeowners who want (or need) to sell.

Choosing the right listing agent is just the first step. Sellers must also decide how much to ask for the home and complete the often-demanding process of de-cluttering the place and ensuring it's in good repair. In addition, there's the move itself.

A well-trained organizational coach can help people tackling a big project to create an overall plan and then break the plan into a sequence of small and manageable pieces. But for those who can't afford to hire a professional in the field, Anderson says the right relative can also be very helpful.

"Just pick a family member who won't nag or criticize you. Find a relative who will sit in the seat next to you to help develop your plan. Also, ask them to check in with you periodically to stay on track and adjust your timeline," Anderson says.

Here are a few pointers:

-- Seek out the support you need to move forward.

Elisa Adams, a professional organizer who's worked with many home sellers, says people with ADD should be careful whom they ask for help.

"The last thing you want is someone who is critical or judgmental," says Adams, who's affiliated with the National Association of Professional Organizers (napo.net).

By visiting this association's website, you can search for organizers in your area who are skilled in assisting clients with executive function issues. Another way to locate a coach is through the online ADD consulting firm of Terry Matlen, a Michigan-based therapist who focuses on female clients (addconsults.com).

Other places to search for help? Matlen, the author of "The Queen of Distraction: How Women With ADHD Can Conquer Chaos, Find Focus, and Get More Done," suggests you post an ad to hire someone who is naturally organized. This person could help you both create a game plan and provide hands-on assistance with the process of de-cluttering your property and pre-packing for your move.

-- Capitalize on your strengths.

Anderson has developed several time- and attention-management techniques that often work for people with organizational issues as they face the tasks involved in a lengthy project.

Even after the project is broken down into small pieces, people with impaired executive function must beware of time-consuming digressions, such as phones and email, which should be shut off during projects.

Anderson suggests you take frequent breaks during a laborious task, such as a painting job. To help avoid burnout, use a kitchen timer and give yourself a brief break when it goes off.

"To keep on track, you need to pat yourself on the back every time you make progress toward your goal. Also, give yourself rewards along the way," she says.

-- Find ways to jump-start your work on an "off day."

Despite the best of plans, people with organizational issues sometimes have trouble gaining the momentum to launch into a new task, Anderson says.

If you find yourself in this situation, she recommends you consider starting your day with aerobic exercise -- such as a fast-paced walk through your neighborhood.

"This helps stimulate the brain into action, as does the use of rhythmic music," Anderson says.

If you're working alone and find yourself unable to concentrate, consider asking a friend or neighbor to step in, at least until you can get your work started.

"Many people need to connect and reconnect with other people throughout a big project," Anderson says.

-- Make sure you allow ample time for any multi-step project.

In setting a schedule for the tasks involved in your housing transition, Anderson advises that you set rational, reasonable deadlines and not try to fit too much into any given day.

Besides the customary to-do list, one tool Anderson likes is an accompanying "not to do list." By reducing the expectations you set for yourself, you could also reduce your anxiety level and accomplish more.

Even those who are normally very focused can find a housing transition overwhelming. This is especially so if they've lived in the same home for a long time and are downsizing to a smaller place.

"Don't think you're alone in your struggle to complete a major project like a house sale. Our society is full of compelling distractions and folks are busy. So, remember there are many people with strong executive function skills who still find it challenging to manage a big housing transition," Anderson says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)

Many cash-tight homebuyers are holding out for their ideal property. But rather than continuing to wait, some real estate experts suggest they compromise.

One plausible compromise for buyers in high-cost areas could be to purchase a townhouse they could upgrade later, says Tom Woods, a veteran homebuilder. As he notes, in many popular metro areas where land is expensive, opting for a townhouse gets you more living space for the money than buying a detached home.

He encourages young purchasers to consider the pluses of an affordable property with basic appliances that could be updated later when money allows.

In selecting a home, he encourages first-time buyers to place a higher priority on location than on the type of property they select.

"For this younger generation, their lifestyle doesn't revolve around the car. They want a close-in neighborhood with more restaurants and entertainment, like places for concerts and a sports arena. They also like walkability and public transportation options," he says.

Given that prices are high in many close-in neighborhoods, Woods says it could be smart for city-oriented buyers to choose an affordable city townhouse over a classic suburban home with a big yard.

But he says young buyers pondering the purchase of a close-in townhouse over a detached suburban place should also factor in the location of their jobs, along with their favorite pastimes and preferences.

Tom Early, a real estate broker and past president of the National Association of Exclusive Buyer Agents, says many young singles and couples who enjoy city living are often happier in a modest city townhouse than in a larger place in an outlying suburb.

"A townhouse can be the ideal choice for people from their mid-20s to early 30s who don't yet have kids and aren't yet looking for a neighborhood with a playground," Early says.

"Granted, you're going to have to share walls with other neighbors. Also, you could be barred from painting your front door fluorescent purple. Townhouses aren't great for rugged individualists. But they're excellent for people who travel a lot or want an easygoing lifestyle," Early says.

Here are a few pointers for townhouse buyers:

-- Factor in the property's appreciation potential.

It can be tiring to hear that the prospect of appreciation is extremely important when it comes to the selection of real estate. But this principle remains true across time, says Eric Tyson, a personal finance expert and co-author of "Home Buying For Dummies."

Tyson urges buyers to look for a neighborhood served by good quality public schools and public transportation.

-- Look for a townhouse with an open interior.

Nowadays, most homebuyers strongly favor an airy, bright habitat. But many townhouses, especially older ones, have relatively few windows and are narrow from side to side and deep from the front door to the back, Early says.

"To get a more open feeling, look for a townhouse that's wider than average. Also, look for one with larger-than-average windows. But remember that big windows typically translate to higher energy costs," he says.

Another way to obtain a more open, airy feeling in a townhouse is to buy one with high ceilings.

-- Make sure you'll have ample parking for your guests.

Newer townhouses are typically built to give each unit a one- or two-car garage. That means your own parking needs should be met. But what about the visitors to your home?

"It's important for townhouse owners to feel confident that their friends and family members will not face lots of hassles when they come over," Early says.

He recommends that the best way to scope out the parking situation near your townhouse is to ask those already living there about their experience with parking in the common areas of the complex.

"You should get candid opinions about all the pros and cons of life in the community through informal conversations with residents there. ... (I)t can be particularly helpful if you go back there to talk to neighbors without your real estate agent at your side," Early says.

-- Seek out a townhouse community where residents live harmoniously.

In nearly all townhouse communities, residents are bound together through membership in a residents' association. As Early says, the quality of leadership in that group can make a major difference.

"The point is to find a community where people can reach consensus through calm conversation rather than heated arguments," Early says.

A well-functioning association sets aside money for major expenses, like the replacement of a roof. Otherwise, everyone living in the community could be hit with a special assessment, which can mean a large addition to your monthly homeowners' fees.

To investigate the operations of a townhouse association, Early suggests you ask for minutes of its last three meetings to see if major disputes are brewing within the organization.

"It can be misery to live in a community where everyone is constantly squabbling over issues both large and small," he says.

(To contact Ellen James Martin, email her at ellenjamesmartin@gmail.com.)