Saving up for a down payment on one of our beautiful Southport homes for sale is quite a feat, especially during the holiday season. With gifts to buy and end-of-year bills on the horizon, saving for your down payment can be tough during the holidays. Here are a few tips from our REALTORS® to help you spend and save wisely.
- Estimate your Down Payment Range
To get a good idea of a firm down payment estimate, you need to first determine the price range for your home and your monthly mortgage payments. Once you've discovered a down payment range meeting your financial needs, you'll know exactly how much you need to save.
- Create a Budget Around Your Down Payment
Now that you have a goal, it's time to create a budget to control your spending. Determine when you believe you'll be ready to put an offer in on a home and identify how much you'll need to save each week to meet that timeline.
- Track Your Bills
As winter weather moves in, your utility bills will increase. Research your monthly averages from the previous year and strive to keep them the same or lower. If you can, try to reduce your utility consumption.
- Eliminate Impulse Purchases
You'd be surprised how much you'll save by drinking and eating out less. Purchase cheaper items at the grocery store and enjoy coffee, meals, and snacks at home without racking up impulse purchases.
- Use Cash As Much As Possible
Swiping a credit card is easy and effortless — which means racking up debt or draining your account is just as swift. By using cash as frequently as possible, you can keep track of every dollar you spend. Consider taking out your gift budget in cash, so you know when you've reached your limit.
- Limit Gift Giving
While we all want to show our friends and family members, how much we care, it's quality that matters, not quantity. Limit the number of gifts you're hoping to buy and instead focus on getting a small number of presents that are truly meaningful.
- Shop Sales
Throughout the holiday season, many shops will have deals in-store and online that will help you save hundreds. A few hours of researching and couponing can help you create an unforgettable holiday without foregoing your strict budget.
- Get Creative
Who says a gift needs to be a store-bought item? You can save money and make your presents more meaningful by handcrafting a few gifts for your loved ones. You can also consider engaging in an activity together to create wonderful memories that last longer than any physical gift.
- Shop Early in the Year
So many purchases in a short time can strain your finances. Get into the habit of shopping for holiday gifts throughout the year, especially when you find items on sale. This will stretch out your spending and allow you to focus on saving during the holiday season.
- Save Actively
The act of not spending money is admirable, but the real difference-maker is how you choose to save it. Get into the habit of actively putting money aside each week in a down payment account. Whether it's a few dollars a day or a few hundred every month, these deliberate savings will snowball into a down payment for your dream home.
For more help buying homes in Southport during the holiday season, contact us.