Is buying your first home the fulfillment of a dream? Learn 7 practical recommendations that will help you save and put together the money to buy your first home.
Is buying your first home the fulfillment of a dream? Can you imagine living alone or even who knows, enjoying your space, your freedom and independence?
Buying a property is a life goal for many people and we know that it has a very special emotional meaning. It is also a decision that implies high resources and can impact your finances in the long run. Therefore, the ideal is to make this decision calmly. In the end, you don’t want your dream to turn into a nightmare, do you?
With that in mind, here are 7 practical recommendations to help you save and raise money to buy your first home. Check it out!
Know your finances before you buy your first home
The first step is to spend some time analyzing how your finances are doing. Analyze your budget and take into account the purchase you intend to make and the time frame in which you would like to acquire the property. Evaluate your monthly expenses and understand what your expenses are: fixed and variable.
Calculate how much you can save each month and if necessary, schedule an automatic bank transfer at the beginning of each month from your account to another account, thus ensuring that this amount is actually saved.
Define your priorities
This is a very important moment because it will give you more clarity about your financial plan and help you set goals that better fit your reality and needs.
Now that you know your financial situation and have control over your income and expenses, it is time to define your priorities.
Make a list of your short, medium and long term financial goals and think about the time frame for each one. If buying your first home is at the top of your list, prioritize that on a daily basis and remember why you want to achieve that goal.
Control your expenses on a daily basis
Raising money to buy a home requires organization, so keep track of your expenses on a daily basis. You can do it through spreadsheets, notebooks or even through applications such as: My Budget, Mobills, MoneyWise, among others.
In this way, you can control and visualize exactly where your money is going, avoiding unnecessary purchases and impulse buying.
Extra performance
In addition to saving money, that is, spending less, you can also earn more. In other words, why not find a way to get some extra income? A part-time job? A new personal project? Something that allows you to earn more money. Use your imagination and think about your skills and knowledge.
Read also: 8 ideas to make money from home
Make your money work
In addition to the value of the property do not forget that there are other extra costs such as: decoration, documentation, deed, furniture, appliances, among other things. Therefore, it is necessary to have some money saved up to assume these expenses as well.
So, make your money work. There are different profitable investment options in the market that offer some security for those who want to invest with little money. Our advice is to invest, for example, in time deposits, because they are low-risk financial products that will allow you to obtain some return.
These have different characteristics – from various subscription amounts to more or less attractive interest rates, and as far as the possibility of monthly reinforcements is concerned.
Think long term
Think about the case that one day you want to sell the property. If this happens, think that the location has a great impact, not only because of the value you will gain from the sale, but also because of the ease of finding potential customers.
Don’t forget, as a general rule, the best located properties pay more IBI. To find out more about the value of the premises where you intend to buy, consult the localization coefficient of the IBI according to the geographical location.
Hiring a Real Estate consultant?
Hiring a real estate consultant to help you is not an expense, it is an investment!
The work of this professional implies a deep knowledge of the market since he deals with different clients every day, most of them duly informed, cases and situations. In this way, he is able to respond effectively to the challenges that may arise in the purchase of your home.
Together with you, you will define what you are looking for and what is the best option for you and your needs. This professional also deals with all the bureaucratic part, for you, which will allow you to save a lot of time and unforeseen events that may arise from the legal procedures to be followed.
Do you need financing? Deepen your knowledge and discover the rates and costs associated with the mortgage
After establishing the budget, try to see if you qualify for a bank loan or if you need someone to guarantee it, for example. I can also put you in contact with one of our professionals to get more options of different banks.
Therefore, it is essential in saving for the purchase of your first home, to assume and control your finances intelligently.
That way, don’t spend more than you earn, measure your finances and keep a reserve for any unforeseen event. Calculate how much will be destined to the purchase and additional costs. Take control and start saving for the purchase of your home. If you liked these recommendations, share this article, or Pin it on Pinterest here!
