Buying a house is an exciting venture. Not only does it give you the freedom to create a home that truly suits your needs, but it’s also an investment in your future. But before you can sign the dotted line and pick up the keys, you’ll need to save money for a down payment. Although such a hefty sum of money may seem intimidating, working with an accountant to create a game plan will make the process easier. Below are some financial advisor-approved tips to help you get started.

3 Money-Saving Hacks to Help You Buy a Home

1. Open a Savings Account

It may seem obvious, but opening a savings account is the first and most effective step toward securing a down payment for a home. Unlike a traditional checking account, your savings will accrue interest as long as they are untouched. As soon as you decide to start looking for a home, open a new account and deposit an initial balance to get started toward building savings.

2. Follow a Savings Challenge

If you look up the term “savings challenge” online, you’ll see hundreds of structured plans aimed to help you build a safety net without depleting your everyday funds. With so many options available, you can choose the challenge that best suits your needs. For example, some people like to follow the 52-week challenge, in which you decide on a certain amount of money and put away that amount once a week for a full year. Others opt for something a bit more fun, like the weather challenge. In this plan, you choose one day per week to look at the weather forecast. The highest predicted temperature is the amount you need to put away that week.

3. See Where You Can Cut Costs

With automatic billings, subscriptions, and the ease of using a debit or credit card, it’s easy to lose track of where you’re spending money. At the end of the month, review your bank statement to see where your money is going. Then, find five areas where you can cut costs. For example, see if there are any subscriptions you no longer use. Or, if you find you’re spending too much money on dining out, set a goal to cut that number in half. If you need help reviewing your finances, bring your statement to your accountant.

If you need help putting away the money needed for a down payment on a home, the professionals at Cloyd & Associates are here to assist. Serving all of Laurel County, KY, these accountants have extensive experience helping clients gain financial freedom and stability. They will work with you to review your budget and come up with an effective game plan to achieve your goals. Visit their website to learn more about their practice, and call (606) 864-8110 to schedule a consultation with one of their accountants today.