Down Payment Saving Tips

The average down payment is 20% of a home's selling price - a considerable chunk of change. Borrowers can use a mortgage calculator to determine how much they will need to save. They should choose a home price that is no more than 25% of their monthly take-home pay. They then know both how much of a home they can afford as well as the down payment amount. Next, cut expenses to accelerate savings; obvious places to start are subscriptions or shopping trips. Borrowers may also consider redirecting retirement savings into a housing fund for a time or investigating options to earn supplemental income