5 Things to Expect When Buying Your First Home

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Are you looking into buying your very first home? Congratulations. Owning a home is certainly something that many people aspire to so as you set out to start looking into buying one, there are a few things you should expect in the process. To help prepare you for the ins and outs of the home-buying process, here are some things to consider:

1.The first loan offered may not be the best loan for you.

It’s very easy to start the process of looking into buying a home and choosing the first seemingly good deal that is made available to you. The truth is that as good a loan as that may be, you could be selling yourself short. You also want to see the various options available and their requirements, such as VA income requirements, as it’s important that you take the time to find the ideal financing option for your particular situation and goals.

2. It’s a serious financial commitment.

When it comes to buying a home, there are so many things to consider. For one, it’s a huge commitment. While most people recognize the aspect of needing to pay a mortgage for years to come, some don’t take the other factors into account. From fees to the down-payment to potential repairs, and more, committing to buying a home can be a serious financial endeavor. Not only that, but in some areas, you may even need to commit to potentially expensive monthly maintenance fees that are required by the HOA. So, before buying, consider all the fees and extras you may not have accounted for.

3. You may not be approved for the price you’ve been planning for.

While you may be looking at your finances and think that the money you saved for the down-payment is great and you’re well-positioned for the home of your dreams, bear in mind that there may be a variety of factors that mean you’re not able to afford the type of house you had originally thought of buying. Because lenders look at a broad variety of factors relating to your income and assets, at the end of the day, your loan may not get you that huge home with a large yard in the BEST location that you originally dreamed of buying. Not to worry; there may be a few compromises that you’ll need to make along the way, but you’re bound to find a great option that suits your needs and your price range.

4. It helps to have debt paid off.

When applying for a mortgage loan, it can be helpful to have your debt paid off or at least most of it. You’ll have your debt-to-income ratio looked at and a large amount of debt yet to be paid can be a red flag for the lender you’re trying to get approved with. If buying a home is a few years down the line, consider paying off your debt as soon as possible. It can go far when it’s time to get approved for that home you want to buy.

5. The better your credit, the better the outcome.

Along the same lines, your credit needs to be in a pretty good condition if you want to be able to buy a home. If your score is above 720, you can expect better interest rates. Lower than 620 and you may not even be approved at all. Again, if you hope to buy a home in a couple of years, it could be a good time to start building a solid credit history now.

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In Conclusion

There are a plethora of things to think about when planning for buying a home. These above-mentioned aspects are important to know so that when it comes time to start the process, you’re fully prepared. From your credit to the type of loan you apply for, buying a home requires planning and patience, but at the end of the day, all of this will be worth it.

Money Saving Tips for the Self Employed

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Working for your self can be very tricky. One month can be very busy with you making more money than you know what to do with it. Another month can have you literally surviving with the coins in your wallet. Which is why you have to be savvy with your money to survive as a self-employed person. You can not afford to spend every penny you make because you never know how busy or not busy the next month would be.  This is the reason why many people cannot afford to work for themselves.

When there is no steady pay check, many people will struggle to manage their money. They may easily find themselves struggling to pay their monthly bills, when work is quiet. Which is why I am grateful there are credit facilities like CashLady and Credit Cards to use on essentials when money is tight. You never know when you will need services like them, so it is good to know they are available.

 

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Here are some money saving tips for the self employed –

 

Buy everything you need online

This may not sound like a money-saving tip but trust me it is. I do 99% of my shopping online. The 1% is when I am out and about and need to grab something. Or the odd time we run out of groceries, and I need to head out to our local supermarket to grab some essentials. I do all my shopping online because he saves me money. Shopping in the stores is way too expensive for me. Apart from the fact that I have to get to the shops physically, which costs money obviously, I am usually tempted to buy more than I planned to buy. Shopping online keeps me focused. I buy exactly what I need without wasting money on what the shops want me to “need”.

 

Do it yourself

I try to do all I can myself. So childcare, cleaning, cooking and everything in between, I do myself. Managing my time and working from home helps me sort out my chores and daily activities. That way I save my money. Outsourcing jobs like these means you spend more money. So doing it myself helps my money go for longer. It also allows me spend more time with my growing kids. I am proud to say I have never paid for childcare, thanks to me being able to work from home.

 

Meal Plan

To avoid wasting food and eating out way more than you can afford to, you need to have a weekly meal plan. My health  and wallet has changed for the better since I started planning meals in advance. Meal planning gives me the opportunity to include all I need in the weekly online shop. It also allows me cook from scratch because I know what needs to be done and I plan my days towards getting them done. If you don’t meal plan, I suggest you try doing this now and see how much money you save. Also, food wastage would be a thing of the past as you would only buy want you need for your meals.

 

What do you think fo these money-saving tips?

How to Save Money as a Freelancer/Self-Employed

How to save money as a freelancer/self-employed is 1 question asked by many. The uncertainty in the freelance/self-employed world makes it even more difficult to even think of saving or pension, and this is the main reason why we must grow our savings – because of the uncertainty.

There is a lot of potential in the freelance business. You can get a good income working from home and doing what you love. The main problem is that some freelancers fail to grow their savings and instead spend more money than they earn. If you are self-employed and have caught yourself overspending without keeping anything on the side, then don’t worry you can start to make amends.

Saving is a habit that you can cultivate. If you’re committed, consistent and dedicated, you will be very surprised with what you can save in a year.

 

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Saving doesn’t have to be difficult. It doesn’t have to be something that you exert a lot of strain on. It’s something that you can achieve and it is so much easier than it looks or what other people make it to be.

Here are some tips on how you can get started in your journey to saving money as a freelancer/self-employed.

 

Start with saving smaller sums of money

Some people find saving a drag because they feel that a lot of money is leaving the sphere of how much money they can spend during the month. The truth is that the idea behind saving is not exactly about how much to keep aside, it’s about keeping something aside.

The best way to deal with this is to start off small and grow into larger sums as time goes by. For example, instead of fixing a particular sum like £200 a month, you can start with a smaller sum like £2 a day. This makes saving less burdensome and then when you’re comfortable with going a little higher you can raise the amount you want to save.

 

Get help from automatic money-saving apps

I love how technology helps save money. There are a lot of nifty apps out there that automatically withdraw money from your bank account and save it in another account where you can have access to it in the future.

With such apps you don’t have to worry about missing the days you set aside to save money. It’s pretty convenient and always on time. I use one with my bank and it has been very helpful.

You can save your time & money by doing online shopping.  DealsQueen have a voucher code for clothing, home decor, furniture, pet supplies, and more. So it is worth having a look on the website.

 

Set a challenge for yourself to save money

Saving money can be fun when you treat it in a creative way. Challenge yourself to save on incremental basis. For example, challenge yourself to save something within 7 days no matter how little. Once you are able to complete the first week, challenge yourself to do the same the next week and then the next until you are able to complete a full month. This will keep you in the frame of mind of saving. So instead of just jumping into making savings, you are growing into it until it becomes a lasting habit.

 

Are you a freelancer or as a self employed person? How do you stay on top of your savings? Please share your tips in the comments section below.

 

Thanks for reading. Have a lovely weekend.

 

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