Down payments are hefty savings goals. Even with 3% or 5% option, you’re still talking about thousands of dollars. Once you nail down the big and obvious savings, there is still room for more! Here are a few down payment savings hacks to get you across the finish line.
11 Down Payment Savings Hacks
First time house buyers should get started on these down payment savings hacks to reach your goal faster!
- Eat More Peanut Butter & Jelly Sandwiches. Packing your lunch and spending less will definitely make an impact on your ability to save money for a down payment.
- Get Creative in the Kitchen. Rather than going out to eat, make one meal a week that is new or special. You may spend a little extra on ingredients, but it will be a lot less than eating out. Just keep your budget in mind.
- Stop Buying New Clothes. Hit up thrift stores and consignment shops instead of buying new clothes. This way you still get to purchase clothes but at a steep discount. Try doing this every other month or every few months so you don’t get worn out.
- Bundle Errands & Carpool to Work. This down payment savings hack just takes a little planning. You’ll save on gas and probably spend less since you won’t be out and about as much.
- Rearrange Furniture and Decor to Avoid Buying. I love changing things up but don’t ever have money to make major changes. However, rearranging furniture or changing the artwork around the house totally satisfies my need to redecorate.
- Offer Gifts of Your Talents Instead of Buying Presents. Are you a good photographer? Bust out the camera and take a few photos for gifts.
- Start a Garden to Lower Your Grocery Bill. Growing your own fruits, veggies and herbs will lower your grocery bill. Be careful not to overspend on garden supplies!
- Open a Designated Savings Account. This is a great way to track your money as well as keep you motivated to save harder.
- Hang Your Clothes to Dry. Let the sun and the wind dry your clothes for you. A lower electrical bill never hurts! Plus, clothes typically last longer when they aren’t dried as frequently.
- Start a Cash Jar for Change and Small Bills. Every dollar counts. This is a simple way to direct your extra cash towards your savings goal.
- Stop Paying for Books and Movies. Go to the library. It’s free and has great stuff.
These 11 down payment savings hacks can help your efforts to buy a house.