How to Save for a House Down Payment – 5 Awesome Tips

Top 5 awesome tips to save for a down payment
Want to own your own house? Well, who doesn’t? You may not be looking to buy a house now but eventually you will. Owning a house is a dream of most people but only a lucky few manage to get a home that they really want. You are not alone if you are worried about saving enough money for a down payment. Hopefully, our tips for saving money will help you gather the amount required for the down payment on the flat that you have been eyeing.

Your bank will finance almost 80% cost of the house/flat (in some cases 90%). The balance is down payment that you will have to self finance. This is a substantial amount for a middle class family. For example, If your 2 bedroom kitchen costs Rs. 30 Lakhs, then your bank would finance up to 24 lakhs and the rest 6 lakhs has be self financing.

Home buying is a complex decision especially if you are a first time home buyer. You will need professional help that will help you get the best homes at best price. Enough money in the bank before going out shopping for a house will give you confidence and peace of mind while choosing a home. We are going to share some tips For saving money here that will help you take control of your finances and save for that daunting looking down payment.
1. Track your spending and expenses
OK, we admit this is one of the most boring and clich├ęd tips for saving money BUT tracking your spending really works. There are a plethora of apps and websites that help you track your spending and keeps a running total of the amounts you spend on specific items or categories.

This process is an eye opener for many. Sometimes we don’t see the obvious until an app tells us!! You will need to cut down on luxuries and divert money towards savings. Finding out where your money goes is the first step in figuring out how to keep more of it in the bank.
2. Invest in Mutual Funds- Don’t be afraid, Research
Do a simple research on the power of compounding or power of compound interest and you will understand why mutual funds are one of the most popular methods of investing these days. India has seen, in the recent times, a sudden spurt in the number of people investing in mutual funds. While there are many things that you need to consider before investing in mutual funds, we recommend that you start a monthly SIP in an equity fund that matches your risk appetite.

Generally, equity funds are the best since they offer you high rates of returns. These funds are also risky because the market fluctuations in these equity funds can be regular affair but over a period of time Mutual Funds usually offer better returns than the Bank FD rates.

Go to a website named valueresearchonline.com and read about Mutual Funds. The end decision is yours but we speak from personal experience-mutual funds offer good returns on investments. There are multiple number of SIP calculators that will help you plan the exact amount of savings, you require each month to reach your down payment in a particular period of time. For example if you are planning to buy a house in 2020, A mutual fund SIP calculator will tell you how much money you need to start saving for your 20% down payment.

This method of investing is not one of the usual tips for saving money but is a method that helps grow your money.
3. Make a Monthly budget and stick to it
Sticking to a monthly budget will be tough especially if you are used to a life of indulgence and luxury. Sticking to a strict budget often isn’t a lot of fun and is challenging. Remember, A penny saved is a penny earned. Having said that allow yourself an occasional treat or two but treat it as an exception and ALWAYS make up for the cost of this exception in other activities. Some belt-tightening now is a minor sacrifice that will quickly be forgotten when you are getting the keys to your new home.
4. Start Saving Early
Have you heard of the saying well begun is half done? One of the major deficiencies of our education system is that we are not taught financial literacy at a young age. We are not taught how to save and why to save. We don’t know about long term and short term financial goals.

Although our moms always insist on saving, majority of us lack proper financial literacy. Start saving early, dedicate at least 15 to 20% of your salary savings each month. Start with your first job when responsibilities are less. Some people save as much as 50%n of their savings while they can. Among numerous Tips for saving money this one is the most powerful.

Benefits of starting to save early is that by the time you reach 30 you will have enough money for a down payment on your house.
5. Look for ways to boost your income
For most of us middle class salaried people, there is only one source of money coming in (i.e. monthly salary). At the most, both husband and wife are working so in such cases there are two sources of money coming in. The number of avenues through which the money goes out is always more than the number of ways through which money comes in. Consider your income and expenses as an upside down funnel. Every successful person understands that additional sources of revenue need to be created in order to save money.

There are many ways through which you can create an alternate source of money. You can consider starting a blog, YouTube channel or simply affiliate marketing. You can start an online store and make good money if you have done proper research. There is multiple number of videos online through which you can learn about online businesses.

You don’t need a considerable investment to start any of these activities. All you need is a laptop and some time. There is TedX video on YouTube which says that you only need 20 hours to learn a skill to a satisfactory level.

Your budget consists of two parts: money coming in, and money going out. You’ll get the best results if you make improvements on both sides.

Open a saving bank account for the purpose of down payment and consider it untouchable. Barring a major emergency, don’t even toy with the idea of spending any of that money until you are ready to purchase a home. It’s easier to keep an off-limits down payment fund if you set up a separate account dedicated solely to this purpose.

Are You Choosing the Right Stock Market Advisory Company

What do you do if you want to learn driving a car? You will try to find an expert teacher, isn’t it? You do not want to avail the services of a novice individual to help you out, but a professional person can provide you the vital tips and most importantly guide you efficiently. Similarly, when it comes to investing in the stock market for the first time, you require a knowledgeable advice to attain your financial goals and get profitable returns.

If you are a beginner, then it is quite obvious that you may be having no information about the process of buying the right shares in the market. In such a situation, getting the right tips from an experienced financial advisor or a registered advisory company will truly prove to be a great blessing in disguise. However, there are some of the important things that have to be kept in mind while choosing the top stock market advisory company, which are as follows:

How much assistance do you actually require?

Before you make up your mind to hire an advisor, it is imperative that you must first decide about the kind of service you require from them. You may need their help at the beginning or during the time of any issues. This is because an advisor has to formulate a map according to your requirements. Hence, it is suggested to ascertain your needs first and then take further action.

Choose a top ranked advisory company

It is a very important point that has to be taken into the consideration. Availing services of the well known advisory company or a financial advisor is an absolute necessity. Make it a point to carry out a proper background or research work about the company. Check out their credentials, reputation, experience, etc before hiring them.

Asking for a sample financial plan initially makes sense

When hiring a financial advisor, then do not forget to ask for sample plan first. It is imperative to note that there is no such thing called the perfect plan. A sample plan will help you to determine whether an advisory company is actually making sense according your requirements or not.

Conclusion

The financial planners or advisory companies can really turn out to be the greatest asset for you if you choose the best one. They are just like the professional sailors who can help you out to sail through stock investment related problems quite efficiently.

Deepak is a financial advisor who likes to provide quality tips to the people facing any issues with regard to investing in the stock market. He likes to keep himself updated about the stock market by reading articles, news and blogs, etc.

How To Choose The Perfect Balcony Design

When building a balcony or terrace, there are a number of structural concerns that must be addressed. This is especially true if you intend to use this space regularly and for entertaining. This is a home improvement that can increase property values by quite a bit. Before getting started, make sure that you have made all of the most important considerations.

Consider the load bearing capacity of this structure in relation to how you want to use it. If you intend to host a large number of guests on this surface, you will obviously need a much greater load bearing capacity than if only using the area for decorative purposes. Consult with a local, structural engineer to determine the feasibility of our design.

Before investing any money into the implementation of your design ideas, make sure that these are in conjunction with local building codes. Local regulations could significantly limit the addition of special features in this area in an effort to promote safety. Consult with the planning department to find out which concessions must be made before construction is started. This will eliminate the need to backtrack in your construction efforts and the associated loss.

Determine whether or not you want this space to have any special features for relaxation or food preparation. Outdoor kitchens are a major trend in backyard designs, but they can also be added to elevated and well-supported structures like balconies or terraces. Some people even install hot tubs or small wading pools depending upon their balcony sizes and their household needs. These are features that are cheaper and easier to add in at the start of construction then they are after building is done.

Some people might want to wall off their balconies or terraces for added privacy. There are semi-permanent and permanent solutions that can be used. A privacy screen will provide the greatest level of adaptability, but you may want to review your options in permanent, glass enclosures as well. This is a great way to create a year-round garden.

There are countless features to choose from but each addition must complement the existing decor on the primary building structure. If you have copper trim and downspouts around the home, consider adding copper lighting fixtures and an enclosure or railing with copper accents. You do not want your designs to clash so that the home looks ill put together overall.

Take some time to calculate your budget for this addition while accounting for any special features that you wish to include. It may be best to complete this project in small increments that entail modest and manageable payments. This way, you can add new feature in whenever additional funding becomes available. This can be an all-at-once project or a gradual, progressive and affordable one.

Always be mindful of the need for a suitable railing. This is essential for compliance with local building codes and for limiting homeowner liability. Fortunately, these structures can be as aesthetically pleasing as they are safe and supportive. You can choose from steel or stainless steel railing or decorative glass balustrades. The best options will both enhance user safety and create a visually appealing and mood-specific ambiance.

How To Keep Your Property Investment On Par With Comparable Properties

When you get ready to sell your house, you’ll want this structure to be modern, up to date and on par with the latest and top standards of the local real estate market. This is what will help you claim the best possible returns on your investment. Following are several things that you need to keep in mind while managing and maintaining your property throughout the years.

How Prices Are Set For Property Listings

There are many factors that determine the price of a house when it is put up for sale. Foremost among these, however, is the average cost of comparable homes in the neighborhood. This is information that reputable agents retrieve from local sales data. They can also visit comparable homes in-person in order to see whether or not there are any major differences in amenities and prices that may have impacted the most recent sales price. As such, the type, amount and level of amenities and features that you have in your home, will be ranked side by side with those of other, recently sold properties.

Attracting Buyers

Modern buyers know exactly what they want. Although they recognise the benefits of investing in existing construction, many are still looking for home that have features that suited to their own specific lifestyles, households and needs. Catering to these individuals is the surest way to expedite the sales process and to limit your overall marketing costs.

What Modern Property Shoppers Really Want

A number of shoppers are currently looking for smart houses or houses that have technologies for remote monitoring and automated features. They are also looking for large, spacious and well-equipped kitchens and innovative bathroom designs. As such, homeowners should invest in attractive cabinetry, sleek kitchen islands, smart thermostats, in-built entertainment systems, cutting-edge garage doors and garage door opener technologies, multi-layered lighting designs and more. Among some of the most important things to keep in mind when choosing upgrades include:

- The constantly changing dynamics of the average household

- The common search for increased energy efficiency

- Household upgrades that can lower overhead spending

- Changes that make spaces more versatile

Universal property designs can involve upgrades that increase the usability of properties for people of all age levels and interests. These are changes that keep people from outgrowing their units within a very nominal amount of time. They increase property values in the most basic sense, but they also improve the value that building structures provide to both their current and future owners.