How to Save for Your Perfect Home



In the course of life, we all reach different and various milestones and yet there are some landmarks that are similar to each individual. Graduating from college, landing the first job, getting married—these are just some of the life’s most important highpoints, but I think we can all agree that nothing compares to the level of satisfaction felt in purchasing your very first home. After all, with the economy moving at a rather stagnant pace and with prices at an all-time high, saving for your first home may come as a bit of a challenge.

Today’s real estate industry may be rather busy in erecting high rises and condominium towers, and many of them are pre-selling condos at a reasonable price for the average Filipino. But, all that is for naught when you cannot even afford their barest minimum price. Purchasing residential areas may be a little intimidating considering that you would have to shell out a small fortune just to afford one, but the process that goes into buying your first home is not as complex as you initially thought.

Sure, it may be daunting to think of spending a huge chunk of your savings, but think of buying your first home as a lifetime investment.
And because this is the case, you need to select the best course in going about it to make sure that you would not have any lasting regrets from your purchase. Though buying a home today can be a bit more intimidating than it was before, a carefully laid out savings plan will help you attain the house of your dreams.

Utilize the guidelines below and perhaps, you might find yourself moving into your perfect home.


You, yourself know how much you earn and can foresee how much you would be able to save. When you determine and establish a price range, go for something realistic and practical. After all, a house with a sprawling lawn and pool or a condo with a private lift may sound enticing, but you cannot spend your whole life saving just for the down payment without ever moving in. When you recognize and realize how much you can realistically afford, you can plan the rest of your budget better as well as narrow down your property options.


When you have a price range in mind, the next thing you need to consider is your down payment goal. Consider that twenty percent of the overall price of a property is the widely accepted down payment minimum, although it would be advantageous for you to go beyond as this would make your borrow less as a result. Incidentally, if you go beyond the twenty percent minimum, you may even get approved for lower rates of interest, and it gives you a much better equity on the property you are purchasing.


When we are earning, it is easy to give ourselves free passes in buying unnecessary and rather luxurious items as a sort of reward for all the hard work and stress we have been through. But consider spending less on unnecessary items and saving your money instead. When you cash your Christmas bonus, consider it as a welcome addition to your home-buying savings. Additionally, you should be mindful of even the simplest expenses you make every day (consider cheaper alternatives to the more expensive purchases you are accustomed to). One great way to keep track of your expenses is to keep a listing inventory of all the items you bought in a day.


Be creative when it comes to sourcing money, after all, having a single source for your home-savings is hardly sustainable, and it will largely disappoint you if you do need extra cash to cover emergencies. But unforeseen and fortuitous events are things beyond control, and whether you like it or not, you are going to have to find ways to cover costs. So, whether it is taking up a second job, selling unused items, or investing a portion of your paycheck in investment deals, you should be sure to have a monetary buffer for covering costs should the untoward happen. Avoid having a stagnant savings account, let your money grow and be creative with it.

Be wise about your money and start saving and investing then maybe having the home of your dreams will come earlier than you expected.