Saving up to purchase a home feels daunting. You’ll need to come up with a 5% deposit out of your own finances. Also, the more you save, the better your interest rate. Yet how to save more funds at a faster rate? Here are some tips you can use to make your home deposit go further so you get the place that you desire.
Look for the Best Bank Account Rates
You have to place the saved money somewhere. Different banks offer varied interest rates, so you will want to check out their rate terms and conditions so you can build your savings faster. Some places may offer you up to 5% interest. Review the competitive rates to select the one where you will be able to grow your savings.
Qualify for Help to Buy Programs
There are a range of different schemes available to help people purchase a home. A first-time home buyer can get into the Help to Buy ISA program where if you save up to £12,000, you will be able to get a 25% return that is tax free. Another program is the Help to Buy Equity Loan that is open to everyone (not just to first home buyers). If you are able to save 5% on your home deposit, you can get a loan of 20% to 40% of the property value.
Buy a Home with Someone Else
If you know of a friend, relative or partner who is looking for homes to buy, you can buy a place together. So you only have to save up for half the deposit. Just make sure you can be comfortable living with the person under one roof and discuss what will happen if you or the other person decides to sell their share of the house.
Get the home you need without going through financial hardship. Check out the above ideas on how to make your deposit go further so you can purchase a home.