We often forget that the gigantic price tag of buying a house comes with a lot of other expenses: remodeling, “fixer-upper” projects, or much-needed home decor. Unfortunately, these side expenses come with hefty price tags. You may think you’ll never save up enough money to afford it all.
However, you can use smart saving techniques to afford those big-ticket items. Here are some tips for saving up for that big purchase.
- Prioritize your purchases. Which purchase do you need first? Make a list of your future purchases in order of importance. Track prices on each item so you’ll know exactly how much you need.
- Skip the costly checking account. Many checking accounts come with a long list of hidden fees or minimum balances. Consider using a prepaid card, such as a Reach prepaid card. You’ll still have easy access to your money and you can either choose to direct deposit your paychecks or load the card from your savings account.
- Cut back on your other expenses. Skip the morning latte. Brown bag it for lunch. Cancel the gym membership and start jogging instead. Go through all of your monthly expenses: are you really watching those premium channels you’re paying for? Do you need three trips to the movie theater each month?
- Nix the credit card debt. Letting your high-interest card bills add up is a waste of money: do you really want to throw away a portion of your paycheck to interest? Only make purchases that you can pay off within a month.