So you’re ready and willing to buy your first home? Great! Coral Homes Australia can build your dream home for you. But before construction can begin, you’ll need to save up enough money to pay the deposit, and to secure a loan. In Australia, the first homeowner’s grant will give you $7,000 to help you on your way. But you’re going to need significantly more than this (probably another $20,000) to buy your first home. When saving for anything it’s beneficial to set a deadline for reaching your goal. Having a firm deadline in place will continually motivate you to take cost saving action at all times. To help you achieve your goal, here are 5 saving tips that’ll help you save the necessary funds in the shortest time possible.
1. Sell stuff on eBay.
Use eBay.com (or another online selling platform) to sell valuable things you no longer use, or need. In a matter of weeks or months, you can have made hundreds – if not – thousands of dollars from selling stuff on the Internet. You can then put this cash towards your new home.
2. Have a garage sale.
This tip is not just for the tech-challenged amongst us. Even if you sell your valuables on eBay, you’ll still most likely have stuff lying around your home that you don’t need. Why not organise a garage sale on a beautiful day, complete with BBQ, and sell all the odds and ends in your home for cash? Not only will doing this give you more money to put towards your new home, but it will also free up space around your current place. Plus, when you eventually move into your new home (which you will by following these tips), you’ll have fewer things to pack!
3. Save by eliminating bad habits.
It’s really quite amazing how much we spend on things like cigarettes, alcohol and coffee. Giving these things up (or at least reducing their consumption) can save us lots of money in the long run. Saving is not fun, and you’ll need to make sacrifices if you want to purchase your own home as soon as possible. But just think of that first day you get to sleep in your new home. Wouldn’t it all be worth it?
4. Open an online savings account.
There are special savings accounts online that offer relatively high interest rates. Each week, deposit 10 per cent of your paycheck into this account, and all the other money you get from selling things, and watch your little golden nest egg grow. Having a separate account for your saving goal of buying a house means that you can track your progress easily. Also, having money in another account (and most probably with another bank) will make it harder for you to spend money that you should be putting towards your new home.
5. Pay off debt.
This may seem a bit out of place here on this list, but paying off your debts is key to saving big. Interest and repayments on existing loans will make saving for your first home that much more difficult. If you have many debts on your financial landscape, then speak to a debt consolidator who can combine all your debts into one monthly repayment (at a lower interest rate).
Buying your first home is both exciting and challenging. Most of us aren’t made of money and so saving for our first home can take some time, and a lot of sacrifice. But it’s all part of the Aussie dream, and it’s totally achievable. Stay focused, stay positive, and the dream will soon be yours.
Photo from coralhomes.com.au