What Is A Single-Family Home, And Is It Right For You?

The mental picture that’s been handed down to many of us of the ideal house is a home for just one family. If we want to get even more cliché, there’s usually a little yard with a white picket fence to round out the portrait. That is one type of single-family home, but it obscures the reality that single-family homes are so much more, depending on who you ask.

What Is A Single-Family Home?

It’s such a popular house style that this shouldn’t be a trick question, but it is. If you think a single-family home is a home where one family resides on their own land, you’d be right. However, because mortgage investor guidelines can confuse the general public, for the purposes of your home loan, a single-family residence is any home with four or fewer units.

The reason for the distinction is fundamentally a business consideration. Once you get to five units or more, you’re typically talking about apartment buildings, which would be considered multifamily homes or commercial construction by investors like Fannie Mae, Freddie Mac and the Federal Housing Administration (FHA).

Commercial properties often involve specialized lending and have an entirely different set of guidelines. Our friends at Rocket Mortgage^® offer financing for properties up to four units. They don’t offer commercial loans at this time. For the rest of this article, we’ll go ahead and focus on a more traditional public conception of a single-family home with its own land and no shared walls.

Unlike a condo, a single-family home must have its own utilities, land and entrance from the street. It’s also classified as being distinct from a townhouse in that it doesn’t share any walls with neighboring dwellings. Because a single-family home has its own parcel of land, it’s built as a freestanding structure. But there are many styles as unique as you can imagine.

With that in mind, you can probably guess that it’s hard to pin down something like the square footage you can expect, but the Census Bureau actually calculates the median (middle number) and average for newly constructed single-family homes each year. In 2022, the median square footage was 2,299. The average is 2,509 square feet.

Types Of Single-Family Homes

Single-family homes come in a variety of shapes and sizes. We’ll go over just a few of the more common ones:

• Ranch: A ranch-style house has an open floor plan in the main living areas and the kitchen. Although they can have a split-level design as well, the bedrooms are often on the first floor and there is typically one story. Often these have low-pitched roofs. A sliding door is typically used to access the back porch or deck leading into the backyard.
• Cottage: Although the design of the cottage will vary as much as any architectural style on this list, cottages tend to be on the smaller side, used as a design for second homes by the lake or perhaps hunting properties in the woods. They tend to start out simply and may be added onto over time.
• Bungalow: Bungalows are small, typically not over a couple thousand square feet at the most. While the rooms may be tiny, this could make them more affordable as a starter home. They usually have a large front porch and a low-pitched roof. Newer bungalows often have an open floor plan in the central spaces of the home.
• Colonial: A colonial house is like a rectangle that has been built up so that it can be two or three stories high. Originally conceived in the American colonies, this allowed people to quickly expand their living space. Space is still one of the big reasons for the popularity of a colonial to this day. There is typically at least one fireplace and the bedrooms are on the upper floors.
• Craftsman: Craftsman homes have a large porch that’s either covered or screened in with a roof supported by pillars. When you get inside, there’s often a big fireplace, window seats and built-in cabinets for the kitchen. At the same time, they’re called craftsman homes because the design is a little more custom.
• Victorian: Victorian homes have a classic look that always catches the eye and the work tends to be high quality. They do tend to be built on small lots, but they can be two or three stories, so a lack of outdoor space is made up for with their larger interior. They can be very formal, and intricate work done throughout the house can mean expensive upkeep.
• Cape Cod: A Cape Cod home typically features multiple stories meaning plenty of space for up to four bedrooms and at least a couple bathrooms. The bedrooms are typically on the second floor with the main living space being down below. The distinctive exterior feature is a roof that slopes upward equally distantly in the front and the rear to a central point.
• Contemporary: Contemporary homes reflect modern sensibilities but are a mashup of the best bits of everything that came before it. It’s adapted to the unique style of the homeowner. There is a focus on sustainability and the use of natural materials. At the same time, people want state-of-the-art appliances and open floor spaces with neutral colors.

The Pros And Cons Of A Single-Family Home

There are both benefits and disadvantages to deciding a single-family residence is the type of home for you.

Pros Of Single-Family Houses

• Roomy: Single-family homeownership is ideal for buyers looking for space. Since this type of dwelling is freestanding, it often has more square footage than apartment-style living. Furthermore, it typically possesses more supplementary space in the form of a basement, attic or garage, which can be ideal for storage.
• Expandable: Because it’s your own land and you don’t share the living space with anyone else, the world is your oyster in terms of what you do with your home. Within certain limitations, you can add additions and remake the home in your image.
• Detached: Since single-family homes with a single unit don’t share a wall with other dwellings, their residents also benefit from more privacy. These residents don’t have to worry about nosy or noisy next-door neighbors in the same way that condo dwellers do.
• Bigger yard space: It depends, but single-family homes tend to have more yard space than bigger multifamily structures where most of the lot space is dedicated to the house. Both the front and backyard can often be used for entertaining.
• Architectural smorgasbord: Another advantage of single-family homes is their architectural diversity. From charming bungalows to whimsical Victorians to sleek contemporary-style houses, there’s a wealth of styles to choose from, and buyers can enjoy the luxury of finding a home that speaks to their specific aesthetic tastes.

Cons Of Single-Family Houses

• Could be expensive: The financial burden is greater when purchasing this type of home. Since single-family homes are typically detached dwellings on independent plots, they’re usually more expensive. They may cause you to spend more on your down payment, homeowners insurance and property taxes.
• Possible homeowners association (HOA) dues: In addition to the costs mentioned above, some will have to pay homeowners association dues depending on the neighborhood they choose to live in. That might be fine if you get services like trash pickup, lawn care and snow removal, but they can also restrict what you might be able to do with your home.
• Lack of communal amenities: While condos and townhouses may come with enticing communal amenities, that’s not the case for single-family houses. If you want a home gym or a pool, you’ll have to pay to install and maintain it yourself. An HOA may have these, but it’s not as likely.
• Responsible for maintenance: This style of housing requires home buyers to be independent and take on all responsibility for maintaining their new home and property. While owners of townhouses or condos pay dues for services that take care of most necessary upkeep, single-family homeowners must shoulder the cost and labor on their own.

Single-Family Home FAQs

Let’s take a moment to go over some frequently asked questions people have about single-family homes.

Where can I find a single-family home?

Single-family homes are the most popular housing in this country, so they aren’t hard to find, but you want to find the right one for you. The best place to start might be a search of the homes for sale in your area. You can also rely on your REALTOR^®. Real estate agents have access to nearly everything that’s on the market at a given time as long as you’re on the same page about what you want.

What are the alternatives to single-family homes?

Because they come with their own plot of land and privacy, single-family homes can be quite expensive. Townhomes might provide more affordable housing, as would modular or manufactured housing. Condominiums come with association fees, but that could mean benefits like shared amenities, and not having to deal with the snow or the grass.

Are there legal limits on how I can use my single-family home?

Just as zoning laws can restrict the type of properties allowed in a neighborhood, they can also limit how you use your single-family home. For instance, R1 zoning is a classification reserved for residential neighborhoods that only allow single-family homes.

Some zones allow for mixed-use and don’t prohibit homes in the area from being used for commercial purposes. Therefore, depending on how your neighborhood is zoned, there could be legal limits on whether you’re allowed to run a personal business out of your home.

If you plan to also use your home for commercial business, it’s a good idea to check your city’s general plan to see how your neighborhood is zoned. If you find that there’s a problem, you can always apply for a variance to request permission to use your home as you desire. Just make sure you have your neighbors’ support ahead of time – without it, there’s a higher chance that your request will be denied.

Do I have to follow HOA rules with single-family homes?

If your home is part of a homeowners association, you must follow their rules. When purchasing a home that’s part of an HOA, it’s crucial that you read their bylaws and covenants, conditions and restrictions to find out what will be expected of you and your home.

If you don’t abide by the rules stipulated, there can be considerable financial consequences. The HOA can not only fine you but also put a lien on your house.

Can more than one family live in a single-family home?

Two families can live in a single-family home provided that doing so isn’t specifically prohibited by local zoning ordinances or homeowners association rules. In some areas, zoning laws limit how many unrelated people are allowed to live under the same roof. However, in many places, it’s acceptable for two families to live together, as long as the single-family home isn’t altered in a way that changes the nature of the structure. 

For example, some neighborhoods are zoned for single-family homes and therefore prohibit the presence of multi-unit dwellings. In such zones, two families may be prohibited from living together if a single-family home is converted into a duplex as a result.

The Bottom Line

A single-family home in the classic sense is a structure detached from everything else with its own plot of land. However, if you’re speaking to a mortgage company, it’s also any home of up to four units. But for the sake of everyday usage, it’s better to focus on the former definition.

The nice thing about single-family homes is that they provide privacy; generally plenty of your own space in the ability to do whatever you want with your home, within reason. The downside is that you’re responsible for all the maintenance, the properties can be more expensive than other affordable housing options and there aren’t communal amenities that you might see in condos or even apartments.

Single-family homes are the most desired among American homeowners and certainly not out of reach for a first-time home buyer. If you’re ready to move forward and start touring homes, connect with a Rocket Homes^SM Partner Agent.