Are you dreaming of buying a new house? Of course! Everyone does. However, not everyone is able to achieve this dream while they are young. Most young people prefer to spend their money on things that give them short-term gratification like gadgets, bags, clothes, shoes and other stuff. They only think about what they want at the moment and what they can buy from their paycheck. They take for granted the concept of saving up for a rainy day or saving up to buy a new house.
In this article, we will share to you some of the things that you should start doing to help you achieve your dream of buying a house.
1. List down all your expenses
It is a good practice to take note of every little thing that you buy or pay for. It will help you track down your expenses and eventually analyse where your money has all gone to. That way, you will be able to pinpoint if you are overspending on something and then you can change it to help you save. Keep a notebook where you should list down everything and don’t forget to keep your receipts for documentation purposes.
2. Spend money according to budget
It is also advisable to come up with a budget plan. Compute your expenses and allocate budget. This should include budget for your food allowance, rent, electricity, bills and others. And then make sure that you are spending according to that budget that you set. It will teach you to become resourceful and disciplined.
3. Find a stable job
Do you currently have a stable job? Some people especially the young ones love to take their time finding their “calling”. There is nothing wrong with that but do not take so much time to the point that you do this as an excuse for your laziness. Find a stable job that will give you money to buy what you need and want including your long term goals like a new house.
4. Work extra
If you have extra time, you might as well use it wisely. You can find an extra job to give you additional source of income. There are jobs online that you can check. You can write articles, design web banners, websites or develop apps. Find something that you can do and then earn from it.
5. Apply for a home loan
Once you have enough savings for downpayment for a house and a stable job then you can consider applying for a home loan. For first time borrowers, fixed rate type of loan is easier to avail, if you are living in Australia, NPBS offers fixed rate home loans, or if you are in the USA, there is the Bank of America. You can check the most popular company in your place to avail these services.
Doing these tips will allow you to become more responsible with your finances. It will teach you how to become more disciplined in terms of spending and saving money. And when you do this consistently, achieving your dream of buying your own house will become easier.