A mortgage is unrealistic without a down payment, so many people wonder how to save money for future housing in the shortest possible time. Tsian.Zhurnal talked with personal finance expert Yulia Chindina and collected 10 tips that will help you collect the required amount.

1. Set a financial goal

Think about what kind of housing you want and how much it costs. After this, you can already determine the exact amount and time by which you need to save money. To do this, it is important to study what offers banks have.

Down payment, interest rate, monthly payment – all these criteria should be clarified as early as possible. You can compare bank offers on specialized resources.

Receive personal mortgage offers and discounts from Cyan partner banks

It should be taken into account that payments on all loans should not exceed 30% of the amount of income. It turns out that if a family has a monthly financial flow of 100 thousand rubles, then payments on all loans should be no more than 30 thousand rubles.

Otherwise, the financial and psychological burden can negatively affect the overall emotional state of the entire family. That is why the down payment should not be taken on credit.

2. Identify additional expenses

Buying an apartment is not limited to a down payment and monthly payments. Sometimes additional costs may be required for insurance, home repairs, etc. Consider these costs in advance.

By the time you apply for a mortgage, it is also important to accumulate a financial reserve – an amount that will provide financial security in case of unforeseen situations. The amount of the reserve should be from 3 to 6 times the total monthly income that the family receives.

3. Research benefit programs

Next, look at what government support programs you can use. Of course, not everyone can qualify for low rates, but you may be the one who can reduce your payments due to benefits.

More information about preferential mortgage programs

But there is one drawback – most often such benefits apply only to the new buildings market.

4. Don’t forget about inflation

Be sure to add another 10% to the total. In such savings, it is important to take inflation into account, otherwise in a year and a half the plans may, unfortunately, collapse.

You can more accurately calculate how your savings will depreciate over time using a special calculator

5. Assess your strengths

Now that the total amount is clear, it is important to decide on the deadline. Set an exact goal – a year, a year and a half, two, etc. ide the amount by the required number of months. For example, in a year you need to save a million rubles. So, you need to save 80 thousand a month. Is it too much? Then extend the accumulation period.

If this is not possible, you should reduce the amount and consider other housing. For example, a little further from the city center or choose a two-room apartment instead of a three-room apartment.

6. Form a habit of saving.

First you save money, and then you go to the store – this should become a habit. Moreover, it is better to replenish savings on payday, this will make it emotionally easier to cope with this step. Plus, you will immediately understand how much to distribute your monthly expenses.

Don’t transfer money to your “piggy bank” manually; automate the process to avoid common excuses like “I forgot” or “I’ll do it later.”

7. Keep your money in a bank deposit

Now it is dangerous to keep cash at home – it may lose value. It’s better to open an account with a bank that is part of the deposit insurance system, where your money will be much safer.

IMPORTANT

And remember – no investments from the accumulated amount, eliminate the risk.

8. Take advantage of tax deductions

Paid medical services, additional education and more – you can receive a tax deduction for all of this. The amount will be small, but, you see, this pleasant bonus will not be superfluous.

Calculate your deduction amount using a tax calculator

9. Assess your expenses and income

The classic advice is to look at where the money is going. Moreover, it is better to write down your expenses in notes on your phone, because not all applications will be able to calculate your expenses accurately.

Assess how often you use what your money is spent on:

• Is a monthly subscription to an online movie theater worth it if you watch one movie a month?
• Are you using all the mobile phone options you pay for?
• Perhaps there are unnecessary things collecting dust in the house that are worth selling?

This way you will not only gain additional money, but also bring more order into your life and get rid of unnecessary things and services.

10. Find an additional source of income

To do this, you don’t have to look for a part-time job, although that’s not a bad idea. You can always talk to management at work – perhaps for extra money you can take on more tasks.

Hurray, it’s done!

So, you have mastered financial discipline and managed to save for a down payment. It’s time to grow further!

Read about how to pay off your mortgage early to your advantage