How to Save At Least 15% of Money for Buying a New Home

Whether you are single or married buying a house ain’t that easy and can cost you an arm and a leg. Having your own shelter gives immense satisfaction. After all home is a lifetime asset and one needs to consider lot of factors while buying a house and ultimately try to save every penny for the dream house. You ought to learn the nuts and bolts of buying a house and saving money for that.

Ways that will help you save money for buying a new home

1. Plan, plan plan!
Planning always works even if you are not ready to move. You can go for house hunting and decide according to the price range so that you will get the idea and start saving when you will feel it. Choosing a neighborhood also plays an important factor.

2. Minimize living expenses:
If buying a house is your top most priority for you might want to downsize your living expenses. Let go off telephone service, cable connection, newspaper, salon expenses. Cut down on your groceries and other utilities like electricity and water. Your saved money will ultimately go to your savings bank account and can be used for your down payment.

3. Look for the best Financing option:
You should look into the best possible financing option. Explore all the options and check various types of mortgages available. Focus on the monthly payment but also on the interest rate and the actual cost so that you can save more money.

4. Your needs:
You might want a car or a business place or other necessities. But prioritize what you need first. It is always advisable to buy a house first as the prices of the house keep skyrocketing.

5. Credit Reports:
Make sure your credit report is immaculate without any late payment charges or over dues and other debts. Clear and analyze each and every detail so that you don’t end up paying huge interest rates.

6. Housing Loan:
There are lot of house loans programs provided by the government which can be approved at low interest rates. According to your convenience variety of payment options will be offered to you.

7. Agent:
A buyer agent can also assist you in the complete process of buying and you will get to know the complete details and current rates. However, don’t get tricked by the unscrupulous agents in the quest of saving money for your house.

8. Friends and Relatives:
Communicate effectively and let your friends and relatives know that you want to buy a house. They might help you if they have further contacts that will save you from high rate premium or even provide assistance by lending money

Follow these tips and you will end up saving at least 15% of your money when you buy a house. Be prudent and make wise decisions so that you don’t end up repenting as it might overshoot your budget. Remember, it is once in a lifetime experience.