Hassle Free Ways To Save Towards Your Mortage Deposit
For most people, saving for a mortgage deposit is a long old process. Chances are you’ll be slogging away for at least a couple of years before you reach your goal. But providing you save smart you’ll get there eventually, and being able to have a home of your very own is so worth the effort. Here are a few ways you can get there a little quicker, and save more without too much hassle.
Choose a High-Interest Savings Account
While you’re saving, you want your money to be working hard. Putting it in a high-interest savings account is a good way to do this. Any extra cash gained will be completely hassle-free on your part, and even if it’s just a little it all helps. Be sure to shop around for the best rates.
Consider an FHA Loan
If you don’t have ten to twenty percent of a home’s value to put down as a deposit, you might be eligible for an FHA loan. Even if you have a low credit score with a less than perfect borrowing history, you may be able to get accepted. This allows you to buy a house with as little as 3.5% deposit. This, of course, means that even if you previously thought you would never be able to buy a home due to the high deposit, you may be able to now.
Start a Cash Jar
There are lots of challenges you can undertake to help you save cash. For example, every time a five dollar bill comes into your possession, it has to go into a savings jar. Smaller amounts like this aren’t likely to be missed, but you’ll be surprised at just how much you can save over the course of a year by doing it. Even throwing the change from your pockets into a jar at the end of the day will quickly mount up. Each year take it to the bank and put it straight into your savings account. If you think you’ll be tempted to dip back into it, choose a money box that you have to smash to open, or open with a tin opener.
Sell What You’re No Longer Using
Old technology such as out of date phones and laptops might seem like junk. But there are companies that will be happy to take them off your hands for a little cash, which is better than them just sitting in a drawer. Clothes and general bric-a-brac can be sold at boot fairs or listed on a site like eBay or Craigslist. If you’re no longer using items, it’s better to declutter and get a little bit of money from them instead. Go through your stuff, dig through the attic and get rid of everything that’s no longer useful to you. You could earn a good few hundred dollars by doing this, all of which adds to your mortgage fund.
Do you have any tips and tricks to getting that mortgage deposit saved as quickly as possible?