Saving up for your dream house may sound like a hard thing to do especially with the rising costs of real estate in the market. However, if buying your very own home is something that you have always envisioned for yourself, here are some tips on how you can quickly and easily save up the down payment for your home.
One of the things that you will need before buying a house is the availability of a down payment. According to Realty Times, sellers usually require a down payment of at least 10 percent of a home's purchase price.
If you are looking into purchasing a home worth $200,000, then you need to at least have $20,000 for the down payment and more for the closing costs. If you still don't have that much in your bank account, the publication noted that you can save enough money for the down payment in two years by simply changing some of your routines.
According to the publication, you may look into renting another apartment in your area, preferably one that is cheaper than the one you are renting at the moment. A $500 difference in the monthly rent will help you realize your dream of having your very own home.
Aside from this, keeping yourself from eating out by preparing meals at home will not only help you save money, it will also help you live a healthier lifestyle. You can also cut down expenses on cable and internet by changing your current plans or even cutting one of the two from your expenses.
If doing all these measures still doesn't seem enough for you to reach the minimum required down payment, Realty Today previously reported on using a shared equity mortgage.
As previously stated, shared equity is a "joint ownership of real estate by both lenders and property dwellers." You can use this method with your parents, children or even your friends; however, there are certain legal aspects that you need to look into before you ultimately decide on using one.
