So you’d like to get on the property ladder (someday) but are struggling to save? It can be frustrating, but at least your not alone. Millennials are generally buying properties later than previous generations, and while there are a variety of reasons for this- money is certainly one of them. The cost of owning a property continues to rise, and it can be difficult to save when you have plenty of expensive outgoings. This isn’t to say that the goal can’t be achieved, but if you want to save (and your expenses are high) you’ve got to get super savvy with your habits! To do just that, try a few of these handy tips.
Track all of your expenses
If you’re serious about saving money, you need to track each and every one of your expenses. Set yourself a strict budget so that you know exactly where all of your money is going. A detailed budget with gives you a workable monthly figure that you can stand to save. One of the best things to do is to plan your spending before the money hits your account. Have a set amount for rent, bills, groceries, and leisure and work within the limits that you set yourself. Apps like ‘You Need A Budget’ are excellent for Millenials trying to save and are real easy to use. The app is based on four simple rules, one of which is ‘give every dollar a job.’
Switch to save
Once you’ve got all your expenses in your budget- review each one carefully. Take a look at the figure that you are paying for your Internet, shop around to find a cheaper deal, and if you find one-make the switch. Do the same with your phone tariff, energy provider, and even with the supermarket you chose to shop in. Try a money comparison site to help you to make these assessments. Look at how much you are spending on leisure per month- could the figure be lower? It’s not to say that you can never go out and have fun, it’s just if you want to save- you might need to trade a few nights out for some Netflix and bargain wine!
Choose the right savings account
Shop around for a savings account which will provide you with the most perks possible. Once you’ve found one with some great interest rates, you’ll be more motivated to pay in the associated fixed amounts. Cash ISAs can be useful to help you save, and the benefits are tax-free too. When you are saving, be patient- it does take a little time, and it depends on the deposit you are working towards. The right account can help you to protect your finances and stay on track. Generally speaking, a deposit would range from about 5% to 20% of the house price. Figure out the approximate house price you’ll be looking for and the approximate deposit so that you have a workable figure to aim for.
When you start your property search, it’s important to deal with a company who can offer expertise in terms of first buyer mortgages. Sites like Altrua at https://altrua.ca can offer such knowledge and services.
