There is no denying the fantastic feeling that comes with having a roof over your head, especially one that you can lay claim of ownership over. It automatically confers on you that respect, and you are viewed in a different light by your peers.
Having a home of your own also allows you to tie important memories into the fabrics of the building you call home. But, the truth is, saving for a down payment to make your homeownership dream come true can be an uphill and thankless task sometimes.
You would have to make specific changes to your budget and sacrifice a lot of temporary comfort for the dream. However, regardless of how difficult it is, it can be achieved, and your future self will thank you for making the sacrifice now.
In this blog article, we would be identifying five easy ways you can easily save for your down payment.
- Cut your budget and start shopping smart
One vital thing you have to do if you want to save for your down payment would be to cut your budget and start shopping smartly. You can do without certain luxury goods during the period you are thinking of saving for your own house.
Instead, you should only buy what you will need and avoid the pitfalls of buying those things you have no use for —even if their price is low.
By shopping smart and cutting your budget, you would be surprised at how much you can save when you do without those things you don’t probably need.
- Skip vacation
I understand you need to give yourself that treat. And I know that you have worked so hard and you deserve to go on that vacation. But think about it, the possible expenses you could incur on that vacation could be better saved towards your down payments.
Denying yourself a vacation so that you can be able to save more for your down payment could be a masterstroke as you could be able to go for that next vacation as a proud homeowner.
Reduce your high-interest rate and debts One thing that may hinder you from saving more is when you have a high-interest rate on your credit card. It is always advisable to transfer your credit card balance to a card with a low-interest rate as it can help you save more.
Debts also eat deep into our ability to save because we have to pay the debts and the interests that come with it. In some cases, the individual is unable to repay the loan, and he is stuck in an endless cycle of debt repayment.
If it’s possible, pay off all of your debts and start on a clean slate that would allow you to save more.
- Get a second job
You can easily save more for your down payment if you get an extra source of income. Having an extra income source would greatly help you improve your chances of saving and make substantial contributions to your plan of getting a home.
But, this means you would have to be more hardworking, and you would have to be careful to avoid a burnout.
- Discover if you’re qualified for a down payment assistance
Agencies like the Federal Housing Administration, the US Department of Agriculture Rural Housing Service, and the Veterans Administration can help you make your down payment if you qualify for the assistance.
All you would need to do is visit their nearest office and make inquiries to see if you qualify for the assistance scheme.
About The Power Is Now Media
The Power Is Now, continues to keep you updated with the latest news in the real estate market, as we strive for advocacy of homeownership, wealth building, and financial literacy for low to moderate-income and minority communities. In this regard, we have a team of professional realtors— VIP Agents stationed nationwide to help you with anything you need in attaining your homeownership dreams. You can get in touch with the VIP Agents at https://thepowerisnow.com/vipagent/. If you can’t find an agent from your area, you can contact me directly for a referral. Also, ensure you stay updated with any developing real estate market news by regularly checking our blog page at https://thepowerisnow.com/blog/. You can also set up an appointment to speak directly to me at https://calendly.com/ericfrazier.
Disclaimer: The views and opinions of Eric Lawrence Frazier are his own and do not necessarily represent First Bank or any organization affiliated with Eric Lawrence Frazier, or the Power Is Now Media Inc. First Bank is an Equal Credit Opportunity Lender. Eric Lawrence Frazier, MBA, is also a Vice President and Mortgage Advisor with First Bank. NMLS#461807 and a California Licensed Real Estate Broker DRE# 01143482. Email: Eric.email@example.com. Ph: 714- 475-8629.
Eric Lawrence Frazier MBA
President and CEO
The Power Is Now Media, Inc.