{"id":9458,"date":"2025-02-02T22:14:53","date_gmt":"2025-02-02T22:14:53","guid":{"rendered":"https:\/\/finderica.com\/?p=9458"},"modified":"2025-02-02T22:14:53","modified_gmt":"2025-02-02T22:14:53","slug":"21-creative-ways-to-save-for-a-down-payment","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=9458","title":{"rendered":"21 Creative Ways to Save for a Down Payment"},"content":{"rendered":"
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Whether you\u2019re looking to fund the minimum down payment or put down more than the traditional 20% when buying a home, saving for a down payment can be a challenge.<\/span><\/p>\n

\"3-Sep-29-2022-06-29-42-53-PM\"<\/p>\n

A typical mortgage loan requires down payment ranging from 3% to 20% of the purchase price, but there are also <\/span>first-time homebuyer loan programs<\/span>\u2014some with zero down payment requirements!\u00a0<\/p>\n

But if you still need creative ways to earn more, save more, or otherwise find the cash for a down payment, read on.<\/p>\n

Supplement Your Income<\/span><\/strong><\/h2>\n

The best way to reach your goal faster is to earn more money. This\u2014as we all know\u2014is easier said than done. These suggestions for earning a few extra dollars can add up quickly.<\/p>\n

1. Turn your car into a billboard.<\/span><\/strong><\/h3>\n

Sites like <\/span>FreeCarMedia<\/span><\/a> can pay you up to $400 a month if you wrap your vehicle with an advertisement. More subtle back-window advertising pays around $50 a month.<\/p>\n

2. Become a freelancer.<\/span><\/strong><\/h3>\n

Sites like <\/span>Fiverr<\/span><\/a> and <\/span>Upwork<\/span><\/a> let individuals pick up short and long term jobs ranging from writing, graphic design, researching, editing, transcription, data entry, and more in their spare time.<\/p>\n

Some people are so successful at these gigs that it\u2019s all they do. Others use them to earn some extra cash\u2014when they\u2019re maybe buying a home\u2014during their free time.\u00a0<\/p>\n

3. Sell your photos.<\/span><\/strong><\/h3>\n

If you have a specific talent like photography, you could get paid for it. Stock photo companies like Shutterstock<\/a><\/span>, iStock<\/a><\/span>, and 123rf<\/a> <\/span>can pay for your images. The more images that are uploaded and accepted, the more cash you earn, getting you that much closer to your minimum down payment.<\/p>\n

4. Sell your stuff.<\/span><\/strong><\/h3>\n

Now is the perfect time to declutter your home\u2014since you\u2019ll be moving once you reach your down payment goal.<\/p>\n

Have a yard sale, or list unwanted items on Facebook Marketplace or <\/span>eBay<\/span><\/a>. Clothing and furniture can be sold through a consignment store or on sites like <\/span>Poshmark<\/span><\/a>, <\/span>OfferUp<\/span><\/a>, or <\/span>Mercari<\/span><\/a>. You can even sell unused electronics and gift cards for some extra cash.<\/p>\n

5. Get onboard with rideshare.<\/span><\/strong><\/h3>\n

Your car can be a big money-making asset. If you have a good driving record and insurance, a side hustle with rideshare companies like Uber<\/a> <\/span>or Lyft<\/a><\/span> may be with your time.<\/p>\n

6. Monetize your hobbies.<\/span><\/strong><\/h3>\n

You may be surprised to learn that you can sell the things you create. List handmade items on <\/span>Etsy<\/span><\/a>. Put your cupcake-making skills to good use, and customize your offerings for parties and showers. Offer tutoring or music lessons to the neighbor kids.<\/p>\n

We\u2019re all good at something, and chances are you can make money at it!<\/p>\n

7. Go treasure hunting.<\/span><\/strong><\/h3>\n

Some people love the bargains associated with garage sales and flea markets. Put that passion to good use by finding items you can flip for a profit.<\/p>\n

Scrap metals like copper, brass, aluminum, and steel can be exchanged at scrap yards for cash. Antiques, paintings, and sculptures sometimes have hidden value. Designer duds from estate sales can be sold online.\u00a0<\/p>\n

8. Return to your pre-teens.<\/span><\/strong><\/h3>\n

Remember when babysitting, pet sitting, dog walking, house sitting, and lawn mowing were your main avenues of income?<\/p>\n

Friends, co-workers, family members, and neighbors would be thrilled to pay someone they know and trust to watch over their little ones while they go on a date, or to take care of their pets while they are out of town for the weekend.\u00a0<\/p>\n

9. Ask for a raise.<\/span><\/strong><\/h3>\n

Some companies give raises automatically after an annual review; others\u2026don\u2019t. Think about the last time you received a raise, and then consider whether it\u2019s time for your boss to think about it, too.<\/p>\n

Make a list of the extra tasks you\u2019ve taken on or instances when you\u2019ve gone the extra mile. Then present your case in a professional manner. If it\u2019s been more than a year since you\u2019ve discussed your salary, this could be an easy way to increase your down payment savings!<\/p>\n

Money-Saving Ideas<\/span><\/strong><\/h2>\n

After you\u2019ve maximized your earning potential, it\u2019s time to start saving to hit that down payment goal.<\/p>\n

10. Save your tax refund.<\/span><\/strong><\/h3>\n

In 22024, Americans received an average tax refund <\/a>of more than $2,850 from the IRS. That money can go directly toward a higher down payment and to purchase a home!<\/p>\n

11. Adjust your insurance.<\/span><\/strong><\/h3>\n

Talk to your broker to see if you can adjust your auto insurance coverage to save money on your monthly premiums. This is likely if you don\u2019t drive that much and\/or have a clean driving record. You can also increase your deductible or combine multiple policies with the same provider.<\/p>\n

12. Ditch subscriptions.<\/span><\/strong><\/h3>\n

Whether that\u2019s cable, Spotify, Netflix, UberEats, or National Geographic, many of us have a few subscriptions being auto-deducted every month. Do we maximize the use of each one? Probably not.<\/p>\n

Pare down to what you really need and enjoy (and can afford), and put the rest of those savings toward your down payment.<\/p>\n

13. Track your spending.<\/span><\/strong><\/h3>\n

The easiest way to see where your money goes is to create a budget. Track every single purchase and payment that exits your account.<\/p>\n

Use a spreadsheet, budget software program, or an app like <\/span>Albert<\/span><\/a> or <\/span>HoneyDue<\/span><\/a> to review where your money goes. You may be surprised at how much you\u2019re spending on nonessentials and impulse buys.<\/p>\n

14. Go on a spending \u201cdiet.\u201d<\/span><\/strong><\/h3>\n

Put yourself on a 30-day spending diet. Drastically cut your spending to only essential purchases for one month. Every week, deposit the money you\u2019ve saved on clothing, dining out, or new gadgets into a high-yield savings account.<\/p>\n

Just like a real diet, seeing the weekly results of your discipline can encourage you to keep up your new habits. At the end of the month, see what areas of your budget you are willing to slash to maintain your new \u201cslimmed-down\u201d spending habits.<\/p>\n

15. Pay with cash.<\/span><\/strong><\/h3>\n

When you make purchases with a credit card, you\u2019re paying more due to credit card interest rates (if you don\u2019t pay off your balance in full each month). Depending on the card, that could be anywhere from 12% to 30% extra. Resist the urge to make purchases with your card, and buy only when you have the cash.<\/p>\n

16. Set it and forget it.<\/span><\/strong><\/h3>\n

One of the easiest ways to increase your savings is to set up an automatic deposit. Instead of having your entire paycheck deposited straight into your checking account, select a specific amount to automatically go into your savings. Then watch it grow (especially if it\u2019s a high-yield interest savings account).<\/p>\n

17. Shop smarter.<\/span><\/strong><\/h3>\n

You can slash your grocery budget by shopping smarter. Make a list before you go into the store, and stick with it. Don\u2019t go shopping on an empty stomach. Use coupons, buy items in bulk, and purchase the \u201cstore brand\u201d rather than name brands.<\/p>\n

19. Rethink date night.<\/span><\/strong><\/h3>\n

Date night, girls\u2019 night out, or family night doesn\u2019t have to cost much. Rather than going out to dinner and a movie, have a potluck-style dinner at home with friends, or settle on the couch with some homemade popcorn and stream a movie instead.<\/p>\n

Your town most likely hosts free concerts in the park, festivals, and other no-cost events. Picking no-cost entertainment takes a bit more planning, but the benefits to your budget will be huge.<\/p>\n

18. Make it, don\u2019t buy it.<\/span><\/strong><\/h3>\n

Did you know white vinegar can replace a number of cleaning products?<\/span><\/p>\n

You can use it as a glass cleaner or a laundry softener. You can even mix it with a few drops of dish soap for an all-purpose cleaner for countertops and floors. Add a few drops of essential oil to get the same citrus or pine scents you\u2019re familiar with.<\/span><\/p>\n

20. Change your commute.<\/span><\/strong><\/h3>\n

If you live close enough to work, consider riding your bicycle. Not only does this save you gas money and parking fees, but it will also improve your health. Plus, it\u2019s good for the environment. Urban dwellers can also consider taking the subway or bus to work.<\/p>\n

21. Consider gift funds.<\/span><\/strong><\/h3>\n

Even the minimum down payment amount can be hard to come by, which is why APM offers specialty programs that allow you to use gift funds towards your down payment.<\/p>\n

If you have a family member, business partner, or employer who wants to \u201cgift\u201d you all or part of your down payment, a mortgage lender (like us) will allow it on some home loan programs. These gift fund programs may be just what you need to get across the goal line.<\/p>\n

Our <\/span>APM Loan Advisors<\/span> are always here if you want more information on loan programs, first-time home buyer programs, or down payment assistance programs.<\/p>\n

If you\u2019re wondering how much home you can afford, check out our mortgage calculator tool<\/span>\u00a0to understand how much you may want to save toward your new home.<\/span><\/p>\n<\/div>\n