Saving for a down payment isn’t easy, especially these days. With prices of everything from your morning latte to your monthly rent on the rise, it seems impossible to put anything away for a down payment on a future home!
At MortgageDepot, we want to tell you it’s not impossible to save for a down payment—you just need to get creative! Here are seven ideas to jump-start your new-home fund:
1. Rethink Your Budget
Sit down and take an honest look at your monthly bills. Can you cut back on your online shopping habit? Can you eliminate a subscription service? These are only two ideas that could put you on the path to saving money.
2. Sell Your Stuff
Turn your clutter into cash by selling it! One person’s junk is another person’s treasure, right? Deposit your earnings directly into your savings account.
3. Downsize Your Rental
If you’re not already living small, renting a compact, no-frills apartment is a quick way to save some cash. If moving to a smaller space seems like a hassle, consider welcoming a roommate to share your current rent costs.
4. Take on a Side Hustle
If your schedule allows it, get a second job. House-sitting, grocery delivery, and freelance projects are a few flexible examples that might work.
5. Ask for Monetary Gifts
Whether it’s your birthday or your wedding day, money always makes a great gift! People want to give you something you’ll use, so if you ask for money to put towards a down payment on a home, most will be happy to oblige.
6. Spend Nothing
Don’t worry! We’re not asking you to cease all spending. Try this: One weekend per month, don’t spend a dime. That means no takeout, on-demand movies, or brunch with friends. This is a great way to reassess your spending, even if it’s just once a month.
7. Good, Old-Fashioned Saving
Open a savings account dedicated to your down payment, and automatically put a designated, no-excuses amount in it every time you get paid. It sounds old-school, but there’s a reason people still use this method: It works!
Our loan specialists can’t wait to meet with you, and if you use these savings tips, it won’t be long before we’re sitting at the mortgage desk together! Contact us for more information about loan programs that will work for you.
Connect with one of our loan consultants to learn more.