HOW TO MAKE A DOWN PAYMENT POSSIBLE

Does the prospect of a big down payment make home ownership seem impossible? It’s not as out of reach as you might think. Here are five tips to help you climb the down payment mountain.

Every month you pay the rent, you’re probably thinking, “I wish this money was going into my future.” For a lot of would-be first-time home buyers, it’s the down payment which makes home ownership seem impossible. Climbing the “down payment mountain” isn’t impossible. Like any major challenge, it’s all a matter of breaking your big, hairy, audacious goal down into practical steps.

Here are some tips to conquer saving for a down payment:

Find out where your money goes. You can’t start saving if you don’t know where you’re spending. For a month or two, track each expenditure, no matter how small. Get an objective picture of where you’re spending the cash.

Get specific about how much you need to save. Even if you’re not 100% sure what your down payment needs to be yet, it’s good to start doing a little math to figure out how much you need to save. Pick a dollar amount and a timeline to hit that dollar amount. For example, a $25,000 down payment in two years comes to $1,041/month. Sound unrealistic? Either scale down your home desires to something smaller or scale up your timeline. If you can wait three years, that monthly savings goal drops to $694/month.

Determine the big moves you can make. If you’re in a three bedroom apartment and can stomach the idea of scaling down to a one bedroom, how much would you save in rent? What about going from two cars down to one? If you can make it work, these sacrifices will have a huge impact on your savings goals.

Setup a separate savings account. Don’t let your dream home money mingle with your regular checking or savings account. Establish a high-yield savings account with a credit union or money market account to protect and build your stash. It’s important to have a separate account with a “hands off” attitude.

Mind the risky investment schemes. Once you have a little momentum, you might be tempted to take some of that cash and invest it in order to make it grow faster. Be very prudent about this, as investing in stocks, startups, or high-yield funds can easily decimate your savings. Be conservative.

Of course, it’s important to know how much home you want to buy when you’re saving up for your down payment. I’m happy to give you an idea what homes are selling for in your area.

Feel free to get in touch any time if you have questions: valerie@valeriemcconville.com

Comments

SPRING ROOF INSPECTION

The roof is the one thing between your home and the elements... doesn’t it deserve a little respect? Here are some roof maintenance tips to preserve your home’s value. Ah, the humble roof. We forget that the single most important structural element in our home is the roof. It provides shelter for those we love and the things we value. It’s easy to let maintenance slide on something we take for granted. With better weather days upon us, now is a good time to inspect the roof and make sure it’s up to the task of protecting your home’s value. Here are some crucial elements you’ll want to look for during a roof inspection: Are the gutters clean and in good shape? Organic debris building up in your gutters can cause water to pool and foster an environment for roof rot. Do you see any curling around the bottom edges? Are there any gaps or holes in the soffit? Are there surface cracks in shingles? Cracks warn you of impending disintegration or separati

BUYING YOUR FIRST HOME: SEVEN TIPS FOR FIRST-TIME HOME BUYERS

Now that you've made the decision to purchase your first home, a hearty congratulations is in order! Becoming a homeowner, especially for the first time, can stir up some feelings of anxiety and excitement. With the knowledge that you gain through individual research and the help of your REALTOR®, you will soon begin to feel like a seasoned house hunter. Tip # 1: Do Your Homework Did you know that there are a number of incentives available to first-time home buyers? In Canada, there is the First-Time Homebuyers' (FTHB) Tax Credit. The Government of Canada introduced a FTHB Tax Credit in 2009 — a $5,000 non-refundable income tax credit amount on a qualifying home acquired after January 27, 2009. For an eligible individual, the credit will provide up to $750 in federal tax relief starting in 2009. Another incentive is the Expansion of the Home Buyers' Plan (HBP). To provide first-time homebuyers with greater access to their RRSP savings to purchase or build a

A SPRING SPREAD ANY BUNNY CAN CREATE

(Culinary.net) With spring in the air, it’s the perfect time to invite guests over for a hopping party. It’s also a great opportunity to tackle that dreadful spring cleaning and spruce up your living spaces with vibrant decor for visitors to enjoy alongside a delicious recipe. With this sweet, colorful table arrangement, your whole family can get into the spring spirit. From festive utensils, a bright centerpiece and cute snacks, your spring setup can be fresh and fabulous. It’s simple to put together and easy on the budget. Pair it with appetizers or even a main dish for a full spring party spread that’s sure to impress. Find more springtime recipes at Culinary.net . Watch video to see how to create this Spring Table Spread! Chick Cheese Balls Recipe adapted from Hallmark.com Yield: 10 chicks 1 package cream cheese 1/4 tablespoon garlic powder 1 tablespoon Worcestershire sauce 1/2 lemon, juice only salt, to taste pepper, to taste 1 cup fine

At Home With Valerie

Search This Blog