SMS
Loading

talk to an agent

CONTACT PREFERENCE:

request a phone call

CONTACT PREFERENCE:

Message sent

Your message has been successfully sent.

You are done!

Thank you for completing our buyer search feedback form, someone from our team will contact you soon. We are looking forward to help you.

Welcome to Authentic!

Thanks for subscribing to our Newsletter.

Download Complete!

Please check your email to download our e-book.

Message not sent

Could not send your message.

Servicios en español

Ofrecemos servicios en español. Contáctenos!
WAYS TO SAVE FOR A DOWN PAYMENT
WAYS TO SAVE FOR A DOWN PAYMENT

7 WAYS TO SAVE FOR A DOWN PAYMENT

If you plan to finance your new house, your first step is saving for a down payment. This can be one of the most challenging steps in the whole home-buying process, and in fact, is increasingly preventing younger buyers from entering the market. With school and credit card debt, rising home prices, and declining career opportunities anchoring them down, more and more potential homebuyers are finding themselves stranded on an endless sea of rentals, or even worse, stranded at Mom’s.

Down payments for U.S. citizens range from 3 to 20% of the total price, while foreign buyers can expect to put down at least 25%. A lower down payment will result in higher interest rates, as will low credit, if you can secure financing in the first place given shortcomings in both these qualifications. But even in the face of such seemingly insurmountable odds, the dream of homeownership doesn’t have to be a pipe dream. With a little discipline, patience, and our seven ways to save for a down payment, you can pull up the anchor of perpetual renting and set sail for your new home.

Ways to save for a down payment – Pay Off Your Credit Cards

This can seem like a daunting prospect, but getting out of credit card debt can be easier than you think. The avalanche technique is the best way for most debtors to go about it. This involves paying off the credit card with the highest interest rate first. When it’s paid off, apply the money you’re now saving to the card with the next highest interest rate, and repeat, exponentially speeding up the time it takes to pay off each card until you’re finally free.

Ways to save for a down payment  – Automate Your Savings

Setting up a savings account might seem like an obvious step in saving for a down payment. But automating it is a good way to maximize its success. By having a portion of each paycheck automatically funneled into your savings, you can ensure a steady growth rate and less hassle on your end.

Ways to save for a down payment – Take Advantage of Aid Programs

There are several programs in place to help first-time homebuyers come up with down payments. Government services like Fannie Mae, various non-profits, and state assistance are all available to help first-time mortgage borrowers raise the funds.

Ways to save for a down payment – Use Your Retirement Funds

If you’ve never owned a home, you can tap your IRA for up to $10,000 for a down payment. Married to another first-time homebuyer? Make that $20,000.

Ways to save for a down payment – Have a Garage Sale

Most people have an unexpectedly large stash of unused, even forgotten belongings just taking up space. You might be amazed at what you find accumulating dust in your attic, or moth holes in the back of your closet. A garage sale can be a great way to free up space, lighten the load of your future move, and add anywhere from a few hundred to a few thousand dollars to your down payment savings.

Ways to save for a down payment – Commit to Stashing Windfalls

Many people have a hard time not spending when large sums of money come their way all at once. But by committing to stashing periodic windfalls like tax refunds, bonuses, and monetary gifts, you can make serious contributions to your down payment, potentially subtracting months or even years off your timeframe.

Ways to save for a down payment – Safeguard Your Savings

Your savings can be well on its way to meeting your down payment goal and suddenly be all but wiped out by a crisis. Medical emergencies, car problems, getting laid off: no one’s immune to life’s misfortunes. But setting aside an emergency fund before you start saving for a house will at the very least reduce the impact they have on your savings.

Authentic Real Estate Team is here to help you through every step of the home-buying process, including the step of saving for your down payment. Our seasoned professionals can help you determine how high to set your goal, and how best to reach it in accordance with your timeframe and budgetary needs.

BLOG ORLANDO

HOMEBUYER FAQ | Authentic

HOMEBUYER FAQ | Authentic

HOMEBUYER FAQ Homebuyers often go into the process with a litany of unanswered questions, both weighing on their minds, ...
Read more
FIFA World Cup in 2026 | Authentic Real Estate Team

FIFA World Cup in 2026 | Authentic Real ...

Did you know Orlando will be one of the cities elected to receive the FIFA World Cup in 2026? The news was officially pr ...
Read more
OUT-OF-STATE AND FOREIGN HOMEBUYERS | AUTHENTIC

OUT-OF-STATE AND FOREIGN HOMEBUYERS | AU ...

OUT-OF-STATE AND FOREIGN HOMEBUYERS For many out-of-state and foreign homebuyers, the prospect of buying a property from ...
Read more
TRAITS OF A GREAT LISTING AGENT

TRAITS OF A GREAT LISTING AGENT

SHORT-TERM RENTAL INVESTMENTS IN ORLANDO Orlando’s world-famous theme parks attract over 60 million visitors every yea ...
Read more
BUILDING YOUR INVESTMENT PORTFOLIO

BUILDING YOUR INVESTMENT PORTFOLIO

23 BUILDING YOUR INVESTMENT PORTFOLIO A successful portfolio is the cornerstone of a successful investment career. Build ...
Read more
SHORT-TERM RENTAL INVESTMENTS IN ORLANDO

SHORT-TERM RENTAL INVESTMENTS IN ORLANDO

SHORT-TERM RENTAL INVESTMENTS IN ORLANDO Orlando’s world-famous theme parks attract over 60 million visitors every yea ...
Read more
REASONS TO BUY REAL ESTATE IN ORLANDO

REASONS TO BUY REAL ESTATE IN ORLANDO

10 REASONS TO BUY REAL ESTATE IN ORLANDO   Housing Market Orlando’s housing market is one of the hottest in the c ...
Read more
FINANCING AS A FOREIGN CLIENT

FINANCING AS A FOREIGN CLIENT

FINANCING AS A FOREIGN CLIENT Financing as a Foreign Client – Orlando is a mecca for foreign real estate investors ...
Read more
HOME STAGING

HOME STAGING

HOME STAGING 101 Much of sales has to do with presentation. Stockers make sure supermarket shelves are properly “faced ...
Read more