Planning to Buy a Home? These Savings Strategies Will Help You Save Up for Your Home Purchase

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Buying a home, homes for sale in Jacksonville FL, Jacksonville FL Real Estate, Jacksonville Real Estate, real estate, real estate advice, real estate information, Real Estate Team, real estate tips, saving for a home, Savings Goal, The best real estate agent in Jacksonville

If you’re planning on buying a home, you need to save up for your down payment and to cover closing costs. But saving can be tough—and if you want to save up enough money to purchase a home, you need a plan.

But what, exactly, should that plan entail?

A recent article from realtor.com outlined key savings strategies you can use to save enough money to successfully buy a home, including:

• Set up a home savings account—and set up automatic payments. If you’re saving for a home, you’ll want to set up a savings account specifically for your house savings. Then schedule regular automatic transfers (for example, once or twice per month) from your checking account to your home savings account, just like you would a bill. Automating your home savings will ensure that you’re putting money away each month—and will help you reach your savings goal faster.
• Turn spare change into savings. When it comes to saving for a home, you’re probably thinking in dollars—but cents can also help you reach your goals. There are a variety of apps that will round your purchases up to the nearest dollar—then deposit that spare change into a savings account. While 25 cents here or 70 cents there might not seem like much, those cents can quickly add up—and when it comes to financing a home purchase, every cent counts.
• Research down payment assistance programs. The down payment is generally the largest expense associated with buying a home—but, depending on your financial situation, you may not need to save up for your entire down payment yourself. There are a variety of down payment assistance programs available to certain types of buyers (for example, buyers at a certain income level, or civil servants looking to buy a home)—so do your research and see if there are any programs you qualify for.

Ready to start your home buying journey? Reach out today – Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside 904-515-2479 HanleyHomeTeam.com

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Dispelling Refinancing Myths

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#Refinance, home ownership, Home values, lower your mortgage payment, real estate advice, real estate tips, Savings Goal, your home

“Refinancing” is a scary word for many people, but that shouldn’t be the case for you. For many homeowners, refinancing can not only lower your monthly payments and help with your monthly budget, but it can save you thousands of dollars in the long run.

YOU’RE NOT TOO LATE.

For years now, we’ve been hearing that interest rates will be on the rise, and although there have been some small increases, you’re still in a great position to drastically lower your interest rate. The general rule is if your mortgage interest rate is more than one percent above the current market rate, you should consider refinancing.

IT’S NOT TOO TIME CONSUMING.

Don’t brush off refinancing just because it seems like a long and daunting process. An informational call with a lender to see how rates compare will only take a few minutes. There are also some programs for streamlining the application process. And besides, isn’t the amount of money you could save worth the time and effort?

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ARMS CAN BE REFINANCED, TOO.

Seeing your Adjustable Rate Mortgage (ARM) increase after the introductory period can be incredibly stressful and place a squeeze on your budget. Many people assume they’re stuck, but ARMs can be refinanced, just like fixed-rate mortgages. You can even switch to a shorter term fixed-rate mortgage, such as 15 or 23 years. The longer you’re planning to stay in the home, the more sense it makes to look into refinancing.

Give us a call today; we are happy to lead you in the right direction.

Kevin and Jennifer Hanley, REALTORS Keller Williams Realty Atlantic Partners Southside 904-515-2479 http://www.HanleyHomeTeam.com

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Down Payment Savings Tips

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Buying a home, Downpayment Assistance, Downpayment to buy a home, High-Yield Savings Account, Jacksonville FL Real Estate, Savings Account, Savings Goal

Every month you pay the rent, you’re probably thinking, “I wish this money was going into my future.” For a lot of would-be first-time home buyers, it’s the down payment which makes home ownership seem impossible. Climbing the “down payment mountain” isn’t impossible. Like any major challenge, it’s all a matter of breaking your big, hairy, audacious goal down into practical steps.

Here are some tips to conquer saving for a down payment:

Find out where your money goes. You can’t start saving if you don’t know where you’re spending. For a month or two, track each expenditure, no matter how small. Get an objective picture of where you’re spending the cash.

Get specific about how much you need to save. Even if you’re not 100% sure what your down payment needs to be yet, it’s good to start doing a little math to figure out how much you need to save. Pick a dollar amount and a timeline to hit that dollar amount. For example, a $25,000 down payment in two years comes to $1,041/month. Sound unrealistic? Either scale down your home desires to something smaller or scale up your timeline. If you can wait three years, that monthly savings goal drops to $694/month.

Determine the big moves you can make. If you’re in a three bedroom apartment and can stomach the idea of scaling down to a one bedroom, how much would you save in rent? What about going from two cars down to one? If you can make it work, these sacrifices will have a huge impact on your savings goals.

Setup a separate savings account. Don’t let your dream home money mingle with your regular checking or savings account. Establish a high-yield savings account with a credit union or money market account to protect and build your stash. It’s important to have a separate account with a “hands off” attitude.

Mind the risky investment schemes. Once you have a little momentum, you might be tempted to take some of that cash and invest it in order to make it grow faster. Be very prudent about this, as investing in stocks, startups, or high-yield funds can easily decimate your savings. Be conservative.

Of course, it’s important to know how much home you want to buy when you’re saving up for your down payment. I’m happy to give you an idea what homes are selling for in your area. Feel free to get in touch any time if you have questions: Kevin and Jennifer Hanley, REALTORS Keller Williams Realty Atlantic Partners Southside http://www.HanleyHomeTeam.com 904-422-7626