Quick Guide: How Do I Save Money & Budget For A Down Payment?
- 1 min
What you'll learn.
- How to address your spending habits
- When to start saving
- How to budget while saving
If you fall under the “sick of renting but don’t think you have enough money to save for a down payment” category, you’re not alone. You just need to get creative! You’re probably thinking, “How do we go about this then? I’ve already tried!” Instead of dealing with roadblocks, we’ve decided to help you with this quick guide to budgeting for that down payment because we know it’s possible!
Ouch, that one hurt
This one is going to hurt but just a little, we need to talk about your spending habits. You would truly be amazed to find out how much money you’re spending on a monthly basis if you just paid a little attention to it. Things like the gym, specialty food stores, clothes, eating out, cable, or even fancy vacays can all really hit your income hard.
Let us show you…
Gym memberships can cost you: $10-100 per month
Shopping at specialty grocery stores: $100-200 per month
Trying on less shopping habits: $100 per month
Save eating or drinking out for only special occasions: $200 per month
Take a break from cable TV: $50-80 per month
Save that special vacation for another year: $1,000-2,000 per year
For more on saving for a down payment
Big picture: If you took these tips to save $600 a month, you could budget a whopping $8,200 a year for a down payment! We’re sure there’s even more room in your spending habits, but you just need to sit down one afternoon and take a fine-tooth comb and run through it. While these creative tips might seem daunting, there are ways around spending so much money each month. Saving like this won’t last forever if you dedicate some time to your finances to see where you can cut back. And when you’re sitting in your dream home relaxing on your couch, you can reflect on how hard you worked to get there that much more!