How to save for your own home
Surely that piece of cake won’t effect our fitness goal? Those new shoes won’t make much difference to my bank balance? Sound familiar?
Us humans love doing things that makes us happy, even if it means focusing on the short-term option over what we know’s “right”. Trying to save for a deposit can be hard, with much sacrifice to be had it can be easy to focus on the negatives, feeling overwhelmed and de-motivated.
It’s important to reward your efforts. To keep on track aspiring savers need to create small and immediate payoffs that reward them in the here and now. For example, arrange part of your fortnightly wage to get automatically transferred into your home deposit savings account on the 1st and the 15th of every month. Then on the same dates, arrange to do something that makes you happy.
Pairing the pain of saving with an activity that puts a smile on your face will help you commit to your long-term savings goal, and let you look forward to what could be a difficult time each fortnight. As well as creating frequent feel-good moments, it’s important to garner support and minimise barriers for when temptation strikes.
Create an environment that helps prevent unnecessary spending before the urge strikes like ensuring credit cards are paid off in-full every month, or even consider cutting up cards if they lead you to spend beyond your means. Remember: small daily habit changes make a big difference. Here are a few that could really help you get into your new home quicker:
- Bringing lunch to work
- Limiting take-away coffee
My passion is in helping people grow their investment property portfolio, assisting to maximise profitability and mitigating risk (all through loan structure and sound investment strategy).
My Contact Details
- Joshua Vecchio – 0432 989 866