Tips for Saving Up a Down Payment for Buying Property

Whether you are looking at buying a property in the Collingwood, ON area for the first time or considering upgrading to something better, one thing will be the same. You are going to need a down payment. While you can use mortgage insurance to accomplish buying property with a lower down payment, if you want to avoid the cost involved, there are some things you can do to save up a down payment.

One of the things you can do is look for ways to reduce your housing expenses now. If you are single, consider giving up your apartment and living with your parents or other relatives for a few months or longer. The savings of rent and utilities could go a long way toward saving up that down payment for buying property. Or if you already own a home, consider renting out a room, if possible to raise some cash.

Another tip is sitting down and working out your budget in detail. Look for things you can cut back on, such as that daily stop for a fancy coffee or going to the movies on Friday night. Make more meals at home instead of eating out. Get your exercise by volunteering in some manner and ditch the gym membership fees. Do more walking and biking instead of driving. If you make a game of pinching pennies, you might even find it to be fun!

Finally, talk to a financial professional. Often, they can help you manage your portfolio to tweak your investments for more gain. For example, shift stocks you own to those that pay larger dividends, or move a savings account to a bank paying a higher interest rate.

Once you have accomplished saving up a down payment, or you are getting pretty close, give us a call. We can help you buy property that is within your budget. Let our combined 25 years of experience make the process of buying property fun and enjoyable!