Top tips to help save a deposit for your first home

Let's talk about something we all dream about – owning our first home, but let's face it, saving up for it can be quite the marathon. But, we've got your back! Here's a realistic plan to make your home-buying dreams feel more achievable.

First things first, let's see where we can trim the fat from your expenses. If you're renting and have the option to switch utility providers, comparison websites are your new best friend. After a year of really rubbish utility deals new ones are starting to open and you can compare quotes and potentially snag a better deal for gas, electricity, and broadband. Even a tiny monthly saving can snowball into something substantial over a year. So, if you do save some money by switching, consider stashing those extra pennies away in a separate account. You'll be amazed at how quickly those pennies add up!

Next up, let's talk loyalty cards and cashback credit cards. They're like your secret weapon for building up your savings. With these cards, you can earn a percentage of what you spend in the form of credit on your bill. To really make this work for you, use your cashback card for everyday expenses and, crucially, pay off the balance in full each month. Trust us; this part is essential. Otherwise, the interest you'll incur could outweigh the cashback you earn. Plus, using a credit card responsibly can give your credit score a boost, and that's a big deal when you're gearing up to apply for a mortgage.

The internet has made second-hand shopping a breeze. Check out platforms like Vinted or Depop before you splurge on that brand-new item. Saving for a house? This is an excellent way to stretch your budget. You can even try selling your own unused stuff to make a little extra cash.

Life loves throwing curveballs, right? Your car might break down, your phone could disappear into the void, or you might find yourself with a hefty parking ticket. That's why it's smart to have an emergency fund. The idea here is to top it up little by little. That way, when life does its thing, you won't need to dip into your house savings to bail yourself out.

Now, if you have a help-to-buy ISA, listen up! Depositing the maximum of £200 a month will turbocharge your savings journey. Why? Because the government will throw in an extra 25% (up to £3,000) to help you buy your first home. And if you're purchasing with someone else, you both get a 25% bonus on top of your savings. It's a fantastic perk for first-time buyers, so make the most of it!

There you have it, folks – a chatty guide to turbocharging your home savings in 2023. Remember, it might feel like a long road, but with a solid plan, you'll be unlocking that front door in no time. Happy saving! 😊

At Love Homes we are happy to help. Please call Love Homes on 01525 713111 or email us at hello@lovehomes.uk

where our property cupids are ready to help you find your dream first home.