How to Save for a Home When Paying Off College Debt
Are you trying to save for a home, but you also have a mountain of college debt? You’re not alone. When becoming a homeowner is equally high on your list of goals as paying off your college debt, here are four tips that you can use to save for a home and tackle your debt at the same time.
Get on a budget.
While getting on a budget is a no-brainer when you’re trying to pay off debt and save for a home, anyone who budgets (or has at least tried) knows that this is easier said than done. With the help of money managing apps, like Mint, you can monitor your spending, then trim back recreational areas in order to set aside more for your dream home and college debt.
Save in every way you can.
Speaking of recreational areas, from gift giving to dining, there is always a way that you can trim your budget further and save. Instead of going to see a movie in theaters, hang back home and watch a movie in. Or perhaps instead of stopping at a coffee shop on your way to work every morning, why not wake up a little earlier to make coffee at home? And while the peak season of gift giving has passed, you might have friend’s or family member’s birthdays coming up. You might opt to gift them something more practical, yet meaningful, by making them dinner, offering to babysit their kids, etc.
Did you know that, oftentimes, utility companies will offer a discount if you set up auto payments on your bills? That’s right; using autopay can deduct a percentage off of your bill so that you can set aside more funds to save for a home. In the realm of autopay, you can also schedule amounts to go into your savings account so that this money is painlessly set aside without you having to do the math each week or month.
Get a side job.
These days, many people have a side job working part-time hours to make extra cash. There are plenty of different ways to make supplemental income that can work for anyone’s schedule. Some side jobs might include becoming a driver for Uber or Lyft, finding a job where you can work remotely or walking the neighborhood dogs. When you get serious about saving for a home, it can be done regardless of how much college debt you have.