Those who rent in the Dallas metro area and who are ready to buy their first Flower Mound home are understandably excited, and ready to get the show on the road! Unfortunately, recent research announced by the Daily Real Estate News revealed that in most counties in Texas, it can take up to a dozen years for families to save the 20% down payment required to buy a home. That’s a really long time, so we’ve gathered a few tips to help speed the process.
Lower the bills you currently have. Certainly you cannot eliminate credit card bills or your cell phone altogether, but you can negotiate a lower annual percentage rate (APR) on your credit cards, or reduce your satellite or cable plan, or your cell phone plan. If you really want to save up money quickly, sacrifice your cable altogether.
Cut excess or frivolous spending. This one is obvious, but do you really have to spend $5 or more at Starbucks most mornings? If you work, eating lunch out every day can really add up. Take your lunch to work, make a grocery list and stick to it. There are lots of ways to cut excess spending, and you could save hundreds per month.
Take a second job. No one wants to work more than they have to, but when you’re trying to purchase your first home, you feel like you are really working toward something worthwhile. Even a few hours in the evenings each week can bring in some extra cash for your first house account! If you have a passion or hobby, you may be able to pick up some extra money online at sites such as Etsy.
Speaking of your “first house” account, start one! Set up a separate savings account specifically for your first home. Put the money you save by not buying a coffee every morning or eating lunch out into the account, along with the money you’ve saved from reducing your household bills on such things as satellite, groceries, credit cards, etc. You will be amazed how fast the account grows!
Could you lower your current rent even further? While it may seem like a step backward to live in a lower rent home or apartment when what you really want is a beautiful new home, cheaper rents can make it possible for you to save a ton of money. Even $100 per month less rent adds up to $1,200 per year!
At Team Nelson, our Flower Mound real estate agents know it’s every family’s dream to own their own home. In some cases, it may be possible to purchase a home for less than 20% down as well. Give us a call today, and let us help you with additional ideas and suggestions for getting into your first home faster!
