FinancesReal Estate

14 Ways to Save for a Downpayment

Moving is a huge step for any individual to take. Buying a home comes with many responsibilities, especially financial responsibilities. Not only do you have to know if you are able to afford a home, but you also have to save for other moving expenses and a downpayment. Saving money can be difficult at times, especially when you have other expenses to pay. However, you can still save some money for that downpayment you’re looking to make. Here are 14 ideas to help you save for a downpayment!

1. Stop Eating Out
Eating out is not only delicious, but it’s convenient as well. However, eating or drinking out can cost you a lot of money. The average amount for lunch alone is ten dollars, that comes out to 50 dollars a week for just lunch. Instead use that money to buy actual groceries and pack your lunches. This also applies for dinner as well. Make and eat dinner at home and you’ll be saving some money for your downpayment!

2. Do It Yourself
There are everyday things that you love to indulge in that cost you money. Instead of paying someone else to do these things for you, you can easily do them yourself to save on money. Things like getting your nails done, simple house repairs, even making your food will help you save money if you do it yourself!

3. Make your Own Breakfast
Similar to making your lunch and dinner and not eating out, you should also make you own breakfast in the morning. Skip the expenses of buying your breakfast before you go to work and wake up 15 minutes earlier to make your own.

4. Forget the Gym, Workout Outside
Don’t get us wrong, working out is super important for your health. Just because you are trying to save for a downpayment doesn’t mean you should quit working out and quit the gym. Rather, quit the gym and workout outside instead. Use the earth as your own personal gym. Not only is this proven to be better for you than going to an actual gym, but you won’t have to make any monthly gym payments either! Saving you your hard earned cash!

5. Use Cash
Instead of using your credit card to pay for everything, carry around some cash to pay with. When you use your credit card, you don’t really have a sense of how much you are spending. That’s why you should pay with cash. Not only will you be able to track how much you are spending, but you’ll also be less likely to buy things when you are physically handing over the cash you need to save for that downpayment!

6. Avoid Online Shopping
Online shopping can be dangerous for anyone who is trying to save money in general. When you online shop, you have access to anything and everything right at your fingertips. Try to avoid this dangerous trap and shop locally instead so you won’t go overboard and buy things impulsively.

7. Try to Cut Back on Water and Energy Usage
Be careful about how much water and energy you use. There are easy ways that you can cut back on your water and energy usage. Not only will you save money, but it’s also great for the environment as well!

8. Cut Back on TV
It’s hard nowadays to cut back on television due to the different types of ways you can watch shows or movies. But really think about it for a second. Do you need all those premium cable channels? Do you need Netflix, Hulu, and Amazon Prime? Cutting back on TV will definitely help you save up money and it doesn’t have to be permanent either. Once you have your money saved up for your downpayment you can get back to watching your favorite shows! You might even be able to binge them all at once if they are available on Netflix or Hulu!

9. Invest in Great Water Bottle
Instead of buying bottled water all the time, invest in a great water bottle that you can carry around and use all the time. Not only will you save money on bottled water, but you’ll help the environment as well. The best part about this is the vast array of water bottles to choose from. They come in all different shapes, sizes, and colors, so you are bound to find one that works for you.

10. Don’t Pay for Name Brand Stuff
Don’t get caught up in name brands, and shop for the same type of clothes with different labels on them. However, if you really want brand name things, you can go to a consignment store and buy the name brand stuff there!

11. Use Coupons
Coupons are there to help you save money, so use them! The money you save from using coupons will add up! However, make sure to use coupons wisely. Only use the coupons that will give you the best deals. Some coupons might seem like they will save you a good amount of money, but sometimes it isn’t always the best deal!

12. Look at your Expenses and Reduce Large Expenses
Make a list of all of your expenses and see what you spend your money on monthly. Once you’ve observed your monthly spending habits, try to reduce your largest expenses! You won’t be able to cut down necessary expenses like rent, utilities, or debt expenses, however, you could try to cut down on other expenses that aren’t necessary. If you see you are spending money on items you don’t necessarily need, cut them down and save that money for a downpayment!

13. Plan Ahead
Just like making a list of all your expenses and seeing where you spend your money, plan ahead and make a budget for yourself. Keep track of your bank account, credit cards, and purchases. Just make sure to plan ahead and stay on budget! Plan your purchases, groceries, meals, anything ahead of time to keep to your budget and save for a downpayment. Once you get used to planning ahead, you’ll start to see how much money you actually save. And if you are thinking of making a bigger purchase, spend at least a month or two thinking about the pros and cons of the item you want to purchase before you decide!

14. Look for Help
If you’re still having trouble saving up for a downpayment, don’t be afraid to look for help elsewhere! There are people and experts out there that can act as a resource for you, like financial planners. Don’t be ashamed to seek out help for constructive information, many people need a little help sometimes!

Are you planning to move and currently saving up for a downpayment? Check out Judd Builders! We have a multitude of wonderful planned communities that meet the needs of today’s modern family. And if you have any questions, feel free to contact us! We’d love to hear from you and answer all of your questions!