Friday, December 4, 2015

3 Tips to Start Saving for a House

Having a hard time saving for a home investment? Check out these tips that might help you to start saving for your next dream home investments.

Below are 3 tips to start saving for a house:

Simulate Mortgage Payments

The problem with all the methods mentioned above is that they do not take your financial habits into account. So what is the best way to answer this question: How much house can I afford?

Personally, I think the best answer is to simulate your home ownership experience. Take your mortgage for a test drive! Say you’re paying $1,300 a month in rent today, and you’re looking at a $1,500 monthly mortgage payment. To be conservative, we’re going to add a 20% premium on top of the mortgage to account for homeowner’s insurance, real estate taxes, private mortgage insurance (PMI), maintenance, and additional utility costs, for a total of $1,800. Source:  Moolanomy

 

Save Less for Retirement

You might be well on track to reaching your retirement goals. If that’s the case, maybe scale back. If you’re matching your 401(k) up to the 6% company match (or however much your company matches), put the rest of your money into your house fund. But don’t stop putting some money aside for retirement.

The post 3 Tips to Start Saving for a House appeared first on Vancouver's #1 Family Real Estate Homes, Houses, And Condos For Sale | Gary Wong Realty.



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