Are you dreaming of buying a home in 2020? Congratulations! Buying your first home is an amazing goal to work towards. The idea, however, can feel overwhelming and daunting if you have never bought or owned a home.
2020 is your year to become a homeowner. Let’s start the year off right with some helpful resolutions that put you on the path to homeownership before the end of the year.
5 New Year’s Resolutions for Buying Your First Home
I will save $X each month to reach my goal of a $Y down payment.
The first resolution you need for 2020 is to determine what your desired down payment is. Without a clear idea, it’s an impossible goal to towards. Once you have your number, decide how much more you need to save to reach that, and divide by the number of months you have before you hope to buy a home. That’s your monthly goal. Now stick to it!
I will unsubscribe to unnecessary, costly subscription services by February 1st, 2020.
This is a simple, but important resolution that’s great for anyone saving up to make any kind of large purchase. In the first few weeks of the new year, track down any less-than-necessary subscription services you have and cancel them. Do you really watch that much cable? What about that monthly subscription box? This goes for other purchases as well. Trim down as much as possible by reducing your coffee shop habit, grocery splurges, or impulse buying.
I will avoid making any large purchases until I have reached my down payment goal.
This goal pairs well with the previous resolution. Limit any unnecessary purchases – especially big ones – until you’ve reached your biggest goal. New cars, technology, and fancy vacations can wait. This year the focus is buying a home!
I will reach out to a real estate agent and mortgage broker by April 1, 2020 to discuss my plans to buy a home this year.
You may have browsed available homes in your desired neighborhood and gotten an idea of what’s out there. That’s great! But the first step to making real progress with finding a home is reaching out to a real estate agent and a mortgage broker. If possible, get pre-approved for a home loan and solidify an agent you’d love to work with when you’re ready to seriously start the search.
I will pay off other outstanding debts to improve my credit by (date).
This resolution will vary greatly from person to person. Consider the amount of outstanding debt you have from credit cards, car loans, student loans. Pay these off to the best of your ability while also saving money for your down payment. Reducing these debts will help you funnel money into your house fund, while also improving your credit score to improve your chances at better mortgages rates.
Ring in 2021 in Your New Home
This year is the year you’ll finally become a homeowner! Starting 2021 off in your new home requires sticking to your resolutions this year. With a little determination, you can save, search, and sign those papers.