With the cost of renting in Salt Lake City almost as high as a monthly mortgage payment, coming up with enough funds to pay the required deposit can be a struggle. To help bring you a step closer to your dream home, Altius Mortgage Group and other experts list some ways on how to save money:
1. Start packing your lunch
Packing your lunch may be challenging, but you’ll eventually get used to it. If you consider how much money you’ll save for toting a brown bag every day, it would probably change your mind. Instead of buying a $10 lunch, you can save that money to pay for down payment.
2. Set a monthly budget
Start your financial plan by setting a budget for your monthly expenses. It’s important to be realistic with your goals, so you’ll be able to stick with it as much as possible. Create a list of all your monthly expenses and arrange them according to importance. See which ones are on the bottom part of the list and check if you can cancel them instead.
3. Create an automatic savings
Another way of saving up is by coordinating with your payroll department to send a fixed amount directly to your savings account every payday. Doing so will make it much easier for you to save money each month. Once you have enough funds on your savings, you can probably pay for the down payment soon after.
4. Downsize your apartment
Another way of saving your money for the down payment is by downsizing on your apartment. If you don’t have kids, then downsizing your place to a one-bedroom apartment would help you save your funds.
One of the major factors that prevent most people to get the house that they want is the down payment. That’s why it’s always best to beef up your savings even before you apply for a mortgage.