Skip to main content

5 Ways To Save For A Down Payment on a house by Team Thayer

How to Save For A Down Payment

There are many great reasons for you to start saving for a down payment. Fixed mortgage payments and a more stable market are just some of the reasons to consider buying a home. Whether you are planning to buy a home in the near future or not, coming up with a down payment can be challenging. It all depends on how motivated you are to accomplish your financial goals. Here are a few tips on how to save for a down payment.
Reduce large expenses: Skipping your Monday morning Starbucks latte may help you save money slowly over time, but why not go after your biggest expenses first for better results. We are talking about your rent, which is probably eating up 30% of your salary pay. You can always try to negotiate a better rate with your landlord, move to a cheaper location, or even downsize by moving to a one bedroom apartment which will drop your expenses greatly. You can also consider bringing in a roommate to help cut down costs and help you save more money each month.
Automate your savings: This seems obvious, but you would be surprised how many people do not consider having some contributions automated to their savings. Tell your payroll department that you want a fixed amount automatically deducted from your paycheck and deposited into a designed savings account. Start small so that it does not seem like a major change in your life. Over time, payoff for your contributions can be significant.
Get rid of one car: If you have a partner and you have two cars, consider getting rid of one of them. This can save you thousands of dollars each year. You can also consider taking public transportation, carpooling or cycling to work. If you can make this work, you can essentially save one car payment each month, plus gas, maintenance and insurance. This adds up quickly and turns into big savings over time.
Save your tax refunds: The average tax refund in 2013 was $1600. While it may be tempting to spend all your tax refunds, why not show some restraint and put your money into a designated down payment account, your older self will thank you for it!
Saving in an RRSP: Under the federal government’s Home Buyer’s Plan, you can use a RRSP to save for the down payment on your first home. Your contributions are tax deductible. And you can borrow up to $25000 from the RRSP for your down payment when you are ready to buy. You won’t pay any tax on the money as long as you pay it back over the next 15 years.

Popular posts from this blog

The top 5 mistakes people make selling their homes. Team Thayer Official Oregon Real Estate News.

5 home selling mistakes with Team Thayer 1. Trying to sell your home yourself In this DIY era, the urge to try to sell your home yourself to save money can beckon like the smell of oven-fresh cookies at an open house. Resist.  Working with a licensed agent  helps ensure you’re not leaving money on the table as a result of an off-target listing price or a mistake in the many steps that lead to a final sale. Sell your sofa yourself online. List your home with a professional. 2. Picking the wrong Realtor Not all agents are equal. Just because your college buddy dabbles in the industry doesn't mean he’s the best guy to sell your home. You want experience. You want to  work with an agent  who has a depth of knowledge. Invite your buddy to the house-warming party.  Find an agent  who can truly perform. Do you research.  Top Home Sales Mistakes 3. Pricing your home too high Sometimes it’s good to aim high. But when you’re setting a price for your home, it’s better to b

UFC 227 play-by-play and live results #UFC #MMA #UFC227

LOS ANGELES – MMAjunkie is on scene and reporting live from today’s UFC 227 event, and you can join us for live play-by-play and official results beginning at 6:30 p.m. ET (3:30 p.m. PT). The event takes place at Staples Center in Los Angeles. The main card airs on pay-per-view following preliminary-card bouts on FX and UFC Fight Pass. In the main event, bantamweight champion T.J. Dillashaw (15-3 MMA, 11-3 UFC) rematches former champ and ex-teammate Cody Garbrandt (11-1 MMA, 6-1 UFC) for the title. In the co-feature, flyweight champion Demetrious Johnson (27-2-1 MMA, 15-1-1 UFC) has a rematch with Olympic gold medalist and former title challenger Henry Cejudo (12-2 MMA, 6-2 UFC). Follow along with our round-by-round updates and official results beginning at approximately 6:30 p.m. ET for the UFC Fight Pass prelims, 8 p.m. ET for the prelims on FX, and 10 p.m. ET for the main card on pay-per-view. To discuss the show, be sure to check out our  UFC 227 discussion thread . You can als