Association of Female Executives of Trinidad and Tobago

Home Purchasing for the Single Female.

Why the decision to buy a home now.

I had become bogged down in excuses for not buying my home, I had pie-in-the-sky dreams. My first home, I thought should be a country home with Guyanese hardwood floors no less, on at least an 1 acre of land in the country

My pockets didn’t allow for such champagne tastes of course, but I was dammed if I would settle for less. But there were deeper issues as well that hovered around my status. I was single when I first went looking for real estate and I was not sure if I was going to remain in Trinidad or go abroad and do my PhD. A house, at the time, seemed such a massive commitment.

Then AFETT happened. Claudia Pegus, who has been my friend for many years (and an AFETT sister) and the owner of a couple of properties, put the figures in black and white and being a business woman I saw the pros and cons of renting via owning.

The figures told me that even though it is currently a seller’s market, it didn’t preclude me from investing in a starter home, that in the end my monthly rent was paying someone else’s mortgage, my landlord’s, who was rich enough as it was.

All I really needed to buy a home was two things a desire to do it, and a down-payment (inclusive of all the taxes). Moreover Claudia showed me that if I decided to pursue my studies in Europe I could always rent my home and have the rent pay my mortgage. Secondly she debunked the theory that some mythical state of personal readiness i.e. a husband must be achieved prior home ownership. This was her brilliant advice, “Never marry and have a man put you in a house.” Seemed totally unromantic at the time but now that I am on the verge of making a commitment to someone, it seems that a house maybe the best gift I can give to myself.

1. Get information. A home is probably the biggest purchase you’ll make in your lifetime. Instead of dreaming about owning your home, do something about those dreams. Go to your bank or mortgage company and find out exactly what you need to become a homeowner. Get the facts. When you see the figures and information in black and white, it may startle you, especially if your savings are non-existent. Don’t panic. The most important thing is that you are preparing yourself to own a property. One of the things that helped me was to list out all that I would need and to place that list next to my computer so that the information was always in front of me. The mantra of “if you visualize you, you can achieve it,” is a correct one.

2. Search Explore locations that are not as developed, for instance, Chaguanas, Couva, Curepe, Mt Hope, Champs Fleurs and St Augustine. Properties in these areas might be low today, but will have good resale value in years to come as development takes place. Shop around for the purchase of the money as well. Don't just go to the first lender

3. Sacrifice. So you don’t have the 10% percent down payment and the other costs associated with the purchase of a home. Then make the necessary sacrifices. I stopped paying a $4,000 rent for an apt. moved in with my sister who lived an hour away from my office just so I could afford my first down payment. What will you sacrifice? Your travel plans, your entertainment allowance. Whatever it is, do remember to set up a standing order so that the money you’re saving goes automatically into a high-interest bearing account. Call that account your housing account. It will feel good just saying it.

By Judette Coward