Top tips for first-time buyers saving for a deposit

Buying your first home is an extremely poignant event in anyone’s life and being able to put down a significant deposit is vital to stand you in good stead for your future repayments.

However, in light of the pandemic, we appreciate that it can seem more daunting than ever to imagine yourself taking that step towards homeownership.

As your trusted local estate agent, with lots of first-time buyer experience, we have complied these tips to support your saving goals this January.

Plan ahead

During your property purchasing journey, it is crucial to identify any additional funds that you may need along the moving process.

Likewise, being aware of your monthly income and outgoings is extremely important in order to create a timescale for your saving journey.

Move back home

If your parents or family are not in a position to be able to support you financially with your property purchase, there are other ways they can help.

The vast majority of first-time buyers find it difficult to save for a deposit due to their monthly rental outgoings, so moving in with a friend or family member is a great option to reducing these costs.

Due to COVID, it is important that you check the most recent guidance before changing your living situation.

Downsize

If your current rent price per calendar month is slowing your deposit saving down, and you can’t move in with a family member or friend, then downsizing may help.

Looking for a property that is smaller could save you hundreds or even thousands over the span of your saving period.

Alternatively, moving out of a central location has the potential to save you a significant sum, and with remote working the new norm, you might find this option can be implemented without disrupting your lifestyle.

Check your direct debits

Especially at this time of year, many of us will take out various subscriptions without continuing to need them beyond the first month.

As such, it is important to go over your direct debits and ensure that you are still using all of the services you are paying for.

In 2019, Brits spent £4 billion on unused gym memberships – and with the average monthly fee being £35 per person – the cost really adds up.*

This also goes for streaming services and club memberships that you may no longer use.

Whether you have your deposit ready to go, or you’re looking to downsize to save some extra money, we’re here to help you every step of the way.

*Daily Mail