With the high inflation that we have seen this past year, saving seems to be more difficult than ever, and saving up enough to buy a home can feel almost impossible.
Here are a few ideas and strategies to help save for a downpayment:
1. Crack down on your budget.
Make sure you have a monthly budget in place and follow it.
2. Reduce or cut back on dining out or getting takeout. Plan out your meals, check for local sales, and buy in bulk if possible
3. Skip a vacation this year, and plan a staycation instead.
4. Set up automatic transfers from your checking to your savings account each month.
5. Put away tax returns, raises, bonuses, etc. into a high-yield savings account.
6. Pick up a side hustle like freelancing, ridesharing, pet sitting, or babysitting, or get a part-time job. Remember, it’s short term to achieve your goal of homeownership!
Although 20% down allows you to avoid monthly mortgage insurance, there are loan programs that allow for as little as 5% down.