Five Simple Ways to Save Money for Your First House
Feb. 11, 2019
A home will likely be one of – if not the – most expensive purchases you ever make. And for many, assembling the appropriate funds can be difficult. But over time, and if done correctly, you can easily put away enough money for that all-important down payment. Consider these easy ideas for saving money, so the dream of home ownership can be yours!
1. Set up an automatic savings plan. Some companies will roll over a percentage of your paycheck directly into a savings account for you. If you work for yourself, be diligent in earmarking a certain amount every month to a dedicated bank account meant only for your house savings. And of course, look for an interest-bearing account.
2. Unexpected cash? Save it! Occasionally we come into little windfalls from tax refunds to rebates to even raises. Immediately deposit these financial surprises into your savings account before spending them to help fast forward your momentum.
3. Don’t incur new debt. Adding to your debt load not only takes away from your savings, it also can have an impact on your credit rating, which is one of the keys to securing a mortgage when the time comes.
4. Cut your spending. Easier said than done, we know. But won’t it be so much more rewarding to spend your money on your new home rather than on something that may only give you instant gratification. If you really want to purchase a high-end item, institute your own personal “waiting period” where you can take some time to think about your purchase logically rather than emotionally.
5. Reduce your monthly expenses. Cutting out line items from your monthly budget can dramatically help put more money in your pocket. For example, cut your cable (even temporarily) and embrace streaming only television. Set your thermostat a little higher in the summer and participate in energy rebate programs. Instead of taking a toll road, build a little more time into your daily commute and take freeways.
Saving for a new house is not a sprint. It’s a marathon. It may feel as though you are sacrificing a lot, but in the long run the rewards will pay off. You can visit our website to see some of the many homes and neighborhoods Brandywine Homes has available at a variety of pricing levels.
