November 15, 2021 0likes 423 views We always hear advice on creating a budget, but the real challenge is sticking to one. Most of us know how to save money. We curb our spending by eating in, avoiding big purchases, cutting back on credit card use. But when you’re saving money to put a down payment on a new home, life can get in the way of your plans. Even if you find a great company that provides mortgage services, you won’t be able to utilize them if you keep spending what you’ve saved. So, when it’s time to buckle down and save for a down payment on a new home, it’s important to know the strategies to make this a reality. Sleep On It If there is an item that you want to buy because it will be useful, but isn’t a necessity, give yourself at least a week to think about making the purchase. Why should you wait a week? If you’ve forgotten about it after a week, or want it less, this is an indication that you can do without it. During this time, ask yourself specifically how you will benefit from it on a daily basis, how much you will benefit from it, and how drastically it will cut into your savings. You will soon have a list of the pros and cons of the purchase. If after a week you still want to buy it, but it will create more stress on your budget than benefits to your life, reconsider buying it. Create a Challenge Challenge yourself for a specific amount of time not to spend money – unless it’s a necessity. This suggestion comes with many names but produces the same result. In the end, you only spend on the things you need. You can do this multiple times as you save for your down payment to reach your goal faster. If this is your first time challenging yourself, start small. Stop spending for one week. Once you have accomplished that challenge, try two weeks, or even one month without spending on things you don’t need. It’s an extreme form of saving, but it can effectively change your mindset about money and correct faulty spending habits. Before you do this, make a list of everything you consider a necessity. Be honest with yourself. Bills, gas, and groceries are considered necessities. Those new pair of pants or shoes are not, even if they will make you look more professional at work. While doing this challenge, don’t trick yourself into turning a want into a need. Create a Meal Plan This is especially helpful for people who don’t like to talk. You will be amazed at how much you can spend when you eat out. To avoid cooking meals every day, come up with a meal plan with easy recipes. You’re probably wondering how you’re going to stick to this meal plan, as it’s easier said than done. Do some research. Look up the dos and don’ts of successful meal prep. Shop for Groceries Online We are all guilty of this: we go to the grocery store with a list but end up buying ten or more items that weren’t on our list. Those items will significantly increase your shopping fees, especially if you do this every time you go shopping. Back in the day, a trick to prevent yourself from overspending at the grocery store was not to shop on an empty stomach. Now, thanks to technology, you can do all your shopping online. Only search for and buy the items on your list, then pick up your groceries or have them delivered to your home. We suggest the former, as there isn’t a delivery fee involved. Online shopping and meal planning work together to help you save more, faster. Save First When you get your paycheck, make sure to put some of that money into your savings account first before you start spending – and don’t touch it. If your bank doesn’t have a high APY (annual percentage yield), find a bank that does to maximize your savings. By doing this, you guarantee that your savings will grow over time and you will eventually buy that house one day. Contact Ace Mortgage We all know the importance of creating a budget. Now you know how to stick to actually stick it. In no time, you will have saved enough to put a down payment on the home of your dreams. For mortgage services in Coral Springs, contact Ace Mortgage. Call (954) 371-2165 for information about our services.