Saving for a down payment might be easier than you thought


Does home ownership seem like an impossible dream because you can’t seem to save for a down payment? If so, it might be time to take a look at the places where money is leaking out of your pocket, just a few dollars at a time.

You might be amazed to see just how much money you can save with a few lifestyle changes.

Here are 6 ways to save:

Cable television: At an average cost of $99 per month, cancelling that subscription would save you $1,188 per year. Did you know that you can borrow videos (and books) for free at libraries?

Gym membership: This is one you won’t want to drop if you’re really hitting the gym several days a week and staying fit and healthy because of it. But if you only go now and then, and if you pay $60 per month, stopping that membership will save you another $720.

Coffee: If you stop for coffee every morning on the way to work, that average cost of $3.65 per cup is costing you $949 per year. If you pay $8 for a can of coffee and brew it at home, you’ll probably spend less than $96 (one can per month), saving $853. If you stop again on the way home, double that figure.

Lunch: The average cost of going out to lunch is $11. If you prepare your lunch at home and carry it to work, it will cost about $4 – and probably be better for you. At $7 per day difference, you’ll save $1,820 per year.

Movies: The average cost of a movie ticket is $8.53, so for a couple to go out, that’s $17.06. Then of course you need popcorn – a tub of which is another $8 or so, and two soft drinks at $6 each. That means one trip to the movies will cost in excess of $37 – and that’s if you don’t take the kids along. (And if you have small children and don’t take them – how much do you pay the sitter?) Compare this to $3 or so to rent a movie, plus something under $5 for soft drinks and popcorn enough for a whole family.

If you’ve been going once a week, saving $29 per week adds up to $1,508 a year.

Lottery tickets: These come in prices from $1 to $20 each, but if you’re spending $5 twice a week, and winning $5 back once a month, there’s another $460 you could be saving toward that new home.

Making the changes outlined above would save you at least $6,549 per year, and I’m guessing that if you think about it, you’ll find more ways. Money that drains out of your pocket $1, $5, or $10 at a time really adds up, especially when it’s an every-day “leak.”

Mike Clover

Mortgage Banker

Homewood Mortgage,LLC

O: 469.621.8484

C: 469.438.5587

F: 972.767.4370

18170 Dallas Parkway

Ste. 304

Dallas, TX 75287

This entry was posted in Uncategorized. Bookmark the permalink.

One Response to Saving for a down payment might be easier than you thought

  1. Jona says:

    I’ve been surfing online more than three hours lately, but I by no means discovered any fascinating article like yours.

    It’s pretty value enough for me. Personally, if all website owners and bloggers made excellent content material as you probably did,
    the internet will be a lot more helpful than ever before.