Planting Seeds of Savings Reap Big Dividends
As you begin to think about purchasing your first home, there are many things that you will think about, but one of the most important ones, will be money and especially the down payment. We know that it can seem a bit daunting, and you may feel that there is no way for you to save enough, for this first step, let alone being able to afford the other expenses that come with owning a home. However, before you rule out purchasing that dream home, let’s look through this list, of 5 seeds you can plant that will reap big dividends, when it comes time to buy.
1. Create a budget
This sounds simple, but it is one of the greatest tools you have to work with. By assigning your money to specific bills, savings or entertainment sections, you will be able to track exactly where your money is going and in turn, you will know where you can save money at. There are many resources available to keep you on track. Apps such as Mint, keep track of all of your finances for you. It will automatically record transactions and will even categorize them for you. In addition, they provide you with graphs and info charts, that help you see exactly what your spending patterns are and how your net worth and cash flow interact. Other apps, such as BillTracker, keep you up to date on when all of your bills are due, so that you will never fall behind. It is a great way to keep organized and to create a more stress free financial lifestyle. If you plant the seed of budgeting and water it with consistency, you will reap a healthy savings habit, that will allow you to purchase that house, you long for.
2. Mastering the 30-day rule
So you walk into the store and there is this really neat new gadget. Your friends have it, it’s all over the TV and magazine ads and you feel the itch beginning. The itch to have it for yourself. Avoiding instant gratification is vital to your savings goal. Instead of purchasing, make yourself wait for 30 days, and at the end of that time period, evaluate whether it is still worth it to you. Often, you will find that the itch has subsided and you are even feeling proud of yourself for saving that money for something you really want. Your new home.
3. Avoid eating out
While it is tempting to swing by your favorite burger joint or diner on your way home from work, food that is “fast” or “convenient”, has a way of conveniently depleting your extra cash, fast. Instead of allowing that sandwich to steal away your dreams, choose instead to do some recipe and meal planning, around the ingredients that are in season. Seasonal ingredients will make your grocery bill cheaper. You can take it a step further and spend an hour or so on the weekend, cooking for the week ahead. You can store your homemade goodness, in the freezer, so that when you come home after a long day, all you have to do is pop it in the microwave or oven and heat it. This helps you stifle the itch of convenience, while still allowing you to save that money.
4. Make a list (and stick to it)
Going to the store, any store, without a list of what you need, gives you the opportunity to blow your budget, on items that are superfluous. By creating a list and sticking to it, you will ensure that you stay within the restraints you have created, and by doing so, you are watering the seeds of savings, that will eventually grow into the realization of your dreams.
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5. Create a circle of accountability
Committing to saving money, especially for something of this magnitude, isn’t always easy. It can be hard to stay focused, when the results seem to be taking longer than you hope for. Perhaps an unexpected bill has come up and your nest egg takes a hit. These times could cause you to throw up your hands and quit. However, if you create a circle of people around you, that know your dreams and goals, support you and will hold you accountable, sticking to your budgeting goals, will be easier. Sometimes all we need is that word of encouragement to remind us that we are capable of achieving great things. Cultivate these relationships and let those around you, help you through this journey. Imagine the joy and pride you will feel, when you call them and let them know that you just bought that dream home, for which you have worked so hard.
Saving money isn’t always easy, but by planting these seeds, into the foundation of your life, you will begin to see growth in your financial stability, your independence, confidence and even in your mental and physical state, as the stress of finances, begins to wane, under your careful gardening.
Need Help? Call Vic Green Realty (937) 435-2611
Surround yourself with people that believe in your dreams.