How To Start Saving For Your First Knoxville Home

The though of saving for your first Knoxville home can be a bit daunting. If you’re like many first Knoxville home buyers, it can be hard to know where to even start.

Buying your first home is more than just the down payment, there are closing costs to think about and just the overall cost of maintaining a home.

If you’re thinking about buying your first Knoxville home in the near future, here is how to start saving for your first Knoxville home.

Stick To A Budget

Sticking to a budget is important when you’re saving to buy your first Knoxville home. Take a look a your monthly budget and see if there are any areas where you could make some cuts to stick a little more money each month into savings.

Things like cutting back on eating out, cutting cable, and cutting unnecessary purchases are all things that can help put a little move money into your saving account each month.

You may find that some of these items are easier to cut out of your daily expenses that you may have thought. It’s still fine to keep these things in your budget, but just make sure you stick to the amount budgeted for each month.

Set A Goal

You may be saving for a downpayment or your may just want to have a certain amount in savings prior to buying your first Knoxville home. Regardless, it’s good to have a certain amount in mind to aim for.  By knowing how much you want to set aside, you’re more likely to stick to your budget.

If you’re unsure about how much you’re needing to set aside for a downpayment, don’t hesitate to talk with a loan officer. As a first time home buyer, there are many different loan options out there for first time home buyers. There are options out there to put as little as 3% down or absolutely no money down. The only way you’ll know you options is by speaking with someone about your options.

Create A Dedicated Account For Your Housing Goals

It can sometimes help to have a dedicated savings account strictly for your housing goals. If you know the money is only there to help buy your first home, you’re less likely to touch it.

Many banks will even allow you to automatically transfer money each month into a savings account. Set a goal of moving a certain amount over every time you get paid, so you are forced to set money aside without thinking about it.

Cut Big Ticket Items

While cutting items out of your monthly budget can help with your savings plan, it’s generally the bigger items in your budget that will make a significant difference.

Do you have a crazy car payment? Do you tend to travel frequently? Do you have a tendency of buying large, spur of the moment purchases? Items like these can add up much more significantly than other things. If you are able to to cut these out for a year or so, you’ll find that you are able to save for your first house more quickly.

Don’t Cut Everything

You’re more likely to have trouble saving if you cut everything out of your monthly budget. If there is a certain item that you’re wanting to work into your budget, there is nothing wrong with that. Just add it into your savings plan, put X amount towards the item every month.

Saving for your first Knoxville home doesn’t have to be miserable, with some careful planning, you’ll have the money you need to buy a house.  Knowing how to budget is an essential part of buying your first home, as you never know when something can break.

Are you thinking about buying your first Knoxville home for sale this year? If so, do not hesitate to give Knoxville Home Team a call today. Rick can be reached at 865-696-9002 or via email at Rick@KnoxvilleHomeTeam.com. Kati can be reached at 865-696-1888 or via email at Kati@KnoxvilleHomeTeam.com. We’ve helped countless first time buyers find the perfect home for them and we’d love to help you do the same!