When it comes to saving money it can seem like it’s a never ending hamster wheel and you just can’t get ahead of the game. While it can seem daunting to begin to budget and save money with so many temptations to spend out there these days, it can be incredibly useful to save money for a mortgage in advance of applying. Not only will you reduce your monthly rates and interest, but you will also feel good about yourself when you step into your first fully owned home. If this sounds like you, here are some great ways you can budget and begin to save.
Learn About Budgeting
First off, learning about budgeting can really help you save money in the short and long term. Courses like those from Simply Academy are great to help those who maybe don’t have a lot of budgeting knowledge learn the key basics to making and sticking to budgets so you don’t catch yourself short when you need it.
Open A High Interest Savings Account
High interest savings accounts are a great place to start. Many banks offer this kind of bank account for those who are saving for big ticket items like cars or houses, so it’s likely your bank will offer something similar. In terms of how much to put into the account each month, it depends on the rest of your budget so see what you can afford and go from there. Most people put a minimum of one hundred dollars all the way up to a couple of hundred depending on their other expenses.
Sell Unused Or Unwanted Items
This is a great way to make a bit of extra money on the side without having to do much of anything. Some items can fetch decent prices – especially things like TVs, video game consoles and different collector’s items like old Disney films from the 80’s and 90’s. The likes of eBay is a great place to sell things like clothing, jewelry and shoes while Etsy is perfect for selling skills like writing, ecourses of your own you may have created, handicrafts and more.
Re-Evaluate Your Eating Habits
Eating habits can eat up expenses like you wouldn’t believe, so re-evaluating how you eat can help you save a bundle on bills. Do you tend to eat organic vegetables? Consider buying them from a local farmer’s market instead of at the grocery store where the markup is high. Likewise, consider cutting back on more expensive items like meat and packaged goods. Try buying dry goods like lentils, beans and such in bulk and storing them in mason jars. Not only is it good for the Earth, but it’s good for the wallet too!
Cut Down On Bills
Cutting down on bills sounds like a no brainer but it can be hard to switch off the thermostat or turn it down in the winter. Instead of blasting the heat, consider using sweaters, blankets and layers to keep warm in the winter. With air conditioning if you have it in the summer, try using ice and a fan which can work just as well in some cases. Also be sure to turn off all the lights in rooms that you aren’t using, you’d be surprised how much that saves on electric.
So if you’re looking to save money for a mortgage, consider some of these great tips and ideas to help start building up that savings account for the home you’ve always dreamt of.