Saving money is never easy, but when you’re hoping to purchase your first home saving is a necessity!
Try these penny pinching, dollar saving tips and soon you’ll have a nest egg to put toward your new abode.
Make a budget and stick to it. Consumer.gov has tips for making a budget. Create your budget and then commit to sticking to it (knowing that hard work will pay off when you find that beautiful home to call your own). Be sure to track what you spend and make sure to avoid any unnecessary spending. This is definitely not the time to be buying a new car or making any similar large purchase.
Get pre-approved not pre qualified. It’s exciting to go out looking at homes, but before doing so you owe it to yourself to speak to a lender. Your lender will ask about your income and expenses and work with you to get pre approved for a home loan within your budget. Your lender can also help lay out all expenses associated with purchasing a home. These expenses include: homeowner’s insurance, taxes and utilities, among other things. Preapproval is something virtually every seller requires before an offer will be considered. (I know of several terrific lenders. Call or text me for their names and contact info.)
Start to save as soon as possible.It’s never too soon to tighten your belt. Remember, you’re saving for one of the largest purchases of your life so the sacrifice is well worth the effort. Choose to cook instead of going out to eat. Watch movies on Netflix instead of going to the theater. Even saving $100+/week can add up quickly.
Create a separate savings account.If your paycheck is direct deposited, you may want to look into having a portion of it automatically deposited into a separate savings account, earmarked for your home buying expenses. Having a separate account serves as an additional reminder not to touch the money you’re saving.
Give us a call, we are connected to great lenders who can assist you with your home buying financial planning, 818-266-9766.