12 Tips: How to Save For Your Dream Home
April 2, 2015
Buying a new home is not out of the realm of possibilities if you really put your mind to it and employ some of these money saving tips. It’s easier than you think to put together the down payment. Just start literally one penny at a time. Keep the Change - Empty your pockets daily and put all your lose change into a jar. Some banks even offer a plan whereby when you use your debit card, they round up the change and throw it into an attached savings account. Bank Your Coffee Bucks – Every time you want to order your coffee out, make a cup at home instead. Transfer the cash you would have paid for that cup from your checking into your savings account. Curb Your Impulses – Whenever you are about to make an expensive purchase ask yourself if you really need it. Is it a necessity or just a momentary want? Think of that money better parlayed into a new home. Broker a Budget – Sit down with your spouse and examine your spending habits. Look at all the fixed monthly bills – rent, utilities, insurance etc. Then take a look at other bills that are more variable and see where you can make concessions to save more and spend less. Match Your Habits – Every time you do spend money on an indulgence put a matching amount of money into your savings. See a shirt you “have to have”...buy it! But then put the same amount of money into your savings account. This will help you cut down on indulgences and save at the same time. Bag Your Lunch – Bringing your lunch to work will save you so much money. Do away with foraging for food at vending machines and expensive restaurants on a daily basis. Eat In – Most people spend far more on eating and drinking “out” than they would in. Take a look at monthly costs on food and drink at restaurants and make an effort to eat in for a couple of months. Take the difference and throw it into your savings account. Take Baby Steps – If the idea of not eating out gives you withdrawals then try to cut down slowly eliminating one or two night outs each month. Deals, Discounts and Incentives – When you are making purchases from ordering out to shopping for clothes and food – take advantage of coupons, deals and incentives to get the lowest price. Take the difference and bank it. Make a List – Plan your meals and make a shopping list. Stick to your shopping list at the grocery store and do not deviate. Shopping without lists and on an empty stomach lead to lots of needless purchases at the grocery store. Buy in Bulk – Buy things in bulk that make sense. This can save you money in the long run. Make sure you have the storage, and it’s an item you will actually use in bulk. Reduce Your Debt – With all the money you are saving on incidentals and indulgences above, pay down your revolving credit card debt. This will help you eliminate monthly interest payments and set you on a healthier financial path. If you take on the challenge and try a few of these minor adjustments to your life style a new home will be yours in no time.