Sunday, February 1, 2015 / by Caleb Pearson
Smart Home Buying
For most people, the main obstacle separating them from their goal of becoming owner is their financial situation. However, there are ways to prepare financially for the purchase of a home. Most people would love to own house or should I say a home or vacation property, but they don’t have enough statistics shows that median home price in America right now is $212,400. That means you need more than $10,000 at closing for a typical home. As you start planning to buy a home, begin with the end in mind. Be realistic about the average home prices where you want to live. If you want to buy a house in the near future, this means you need to building up some serious savings. Here are 10 simple steps to help you:
1. Do not spend! These words may at first seem rather simplistic, but in fact they represent the essence of your mission. This mission is not easy, but if you accept it, you will soon master of your life and your destiny. This may be considered the main cause of money waste. Spending money on a coffee, buy a pack of refreshing pellets (so good for your teeth), a magazine about fashion, a lottery ticket, a new lipstick etc. small things like those impressively dig your budget. So the first thing to do is controlling your purchases. Remember: save is not to spend.
2. Open a savings account. By opening a savings account in the bank of your choice, you have more advantages as an attractive pay rates, the interest calculation sometimes giving rise to a loyalty bonus, no management fees, no risks and the ability to manage your payments.
3. Do not accumulate debt! It is true that certain loans are sometimes necessary, but it is in any case preferable to flee. Some credits are sometimes necessary in order to meet certain priorities in your life. You must manage these loans with intelligence and foresight.If you must take credit for any purchase, try to make the most of initial capital. The more your initial contribution, the more you pay off your credit quickly while enjoying a more attractive interest rates and sometimes negotiable. The financial situation of all households in the world sometimes differs dramatically. Bankers generally recommend that your debt does not exceed 10% of your annual budget. Some sources increase this to 20% while admitting that the debt limit is around 36%.
4. Plan and think of the future. Setting goals is an excellent initiative, but you must achieve it. Give yourself a predetermined period of time in order to move with regularity and consistency. Proceed in stages and give yourself a time limit to complete a task or project. This requires you to be responsible and allows you to progress with unwavering determination towards your goal. If you want to buy a new home, ask about the local real estate market and examine the political and social situation in the region to make sure you make a smart investment.
5. Create a budget. It is not difficult to set goals and save to achieve them, but if you do not control your monthly expenses, this task can become very complicated. Start by setting a monthly budget to manage all of your expenses. Assign a part of your income to compulsory expenditure (rent, loans, food, education etc.) and establish a budget for optional spending (cosmetics, outputs, new electronics, mobile devices, etc.) Divide your salary beginning of each month to monitor all your expenses.
6. Write down your expenses. If you want to save, you must observe the budget that you have created. If you do not write down your expenses, this will be impossible. Writing down all your expenses, you can trace and locate the source of a problem when you go over your budget.
7. Downsize before you upsize. Moving to a one-bedroom apartment from a two-bedroom apartment can drop your rent by 20% to 30% in MOST Areas. If you do not-have kids, it May Be a smart move to live small Into Before You move your new home And Then reallocate the unused Into your rent housing fund. And an added bonus Is That a smaller mean square Will Fewer boxes to move once you finally do find your dream home.
8. Work more. Spending less is The Obvious way to save, working more goal and bringing home more money. A great way to supercharge your savings. If you are eligible for overtime or additional work, take Every Opportunity That comes your way. And if you're not, consider taking a second job on the side Even If it's only a Few Days or A Few Each month projects.
9. Sell your clutter on eBay .Take this quick test: You're at home. Open a cupboard. Look inside. If it's full of clothes you haven't worn, or good ideas at the time you haven't used, for, let's say, three years - you don't need them. So why not sell them to someone else who does? For fans of the understatement: EBay is quite well-known and popular now. The great thing is you really can flog any old garbage - for a commission.
10. Use your talent to earn extra cash and learn to say no .it might be a good idea to use your talent to earn money, if you are an artist (guitarist, musician, painter…) you can teach people and earn some cash and Saying 'no' a few times a year will do wonders for your bank account.
saving money and making sure to set up a good career and a bright future is very important for young people, life is hard and tough and challenging and you have to accept the challenge and make good of it, and all that start with the well management of money, starting by buying house where to stay, actually that's the first step toward success. So making sure to establish that would be right thing to start with toward a bright future .