3 Tips for Saving for Your Dream Home
06-14-2021 • MHS Lending
Buying a new house is an incredibly exciting experience. Regardless of if you’re a first-time homebuyer or are looking to upgrade or downgrade in size, you likely have an idea of what you want your new “dream home” to look like. The biggest factor that plays a part in many people delaying the process of buying a house is money. From a down payment and closing costs to upgrades and new furniture, buying a new house can be quite expensive. With 6.49 million homes bought in 2020 alone, it’s clear that millions of Americans are finding ways to save up for this big and exciting purchase and you can too!
If you are a military member or veteran, the VA Home Loan is an amazing benefit reserved exclusively for you. With a $0 down payment and no PMI required, VA Loans make it much more affordable to purchase a home. While these loans are a huge help when buying a home, you’ll still want to make sure you have some cash on hand for other expenses that will arise. Saving ahead of time can feel overwhelming, which is why we put together our top 3 tips to help you save for your dream home.
Trim down your spending
One of the best ways to save money is to adjust your budget to account for a certain amount of net savings every month. Do a deep dive into your finances each month to help you discover areas where you can slim down your expenses. Are you a Starbucks fanatic who spends $5 on a cappuccino every day? Consider getting a handheld milk frother so you can make your own cappuccinos at home and splurge at Starbucks only on special occasions.
Do you love to go out to eat (and do so multiple times a week?), try going to happy hour or finding restaurants with deals instead. Better yet, limit the number of times you go out to eat and try cooking your favorite dishes at home. Are you one of those people who has every streaming service available for TV? These add up, especially when tacked on to your monthly bills. Consider cutting down to one or two of your favorites and make a list of everything you want to watch on that specific streaming service. When you find yourself missing one, just consult your list of must-watch options on the service you have for a great alternative.
Keep an eye on sales for “must-have” items for your new home
If you’re looking to make a big purchase for your forever home but don’t want to do it all at once, check out sales throughout the year. Most companies participate in major sales on Black Friday and other holidays like Memorial Day and Labor Day and these offer great opportunities to get what you need for less. If you have the space where you currently are you may even be able to snag discount furniture and appliances, but things like guest bedroom linens and an upgraded trash can are all good to buy when they’re on sale so you have them on hand when you move into your dream home.
Limit traveling and find new ways to go on adventures
There’s no greater feeling after a trip than coming home to your cozy home. If you’re looking to buy a new house soon, it may be a good idea to pause travel until you have the cash you need for this huge purchase. Just because you limit traveling doesn’t mean you can’t still have an adventure. Instead of flying off to Paris for a week, try to bring Paris to you with delicious French food, a great foreign movie, and a bottle of champagne. If you’re an outdoorsy traveler, do a quick Google search for fun things to do outside near you and try something new. If you think outside of the box, you may be pleasantly surprised that it doesn’t take thousands of dollars to have a great adventure.
At MHS Lending we are experts on the VA Home Loan. Working with service members, veterans, and their families to help them buy their dream home is what we love to do. If you’re ready to take the next step to purchasing a house, give us a call at 619-728-7620 today.