Saving for a Down Payment

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Introduction

• After a long search, you've finally found the
  home you've been looking for and at a time when
  mortgage rates are low. However, you don't have
  enough money for the down payment or the full
  payment.
• Saving money for a down payment can be tough for
  people on a lower income.
• Working towards getting cash ready for a down
  payment will help you reach the goal of attaining
  your dream home.
• Whether you want to make a down payment on a
  home, buy a car, take a vacation, or save for
  your retirement, these tips can help.

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Ways to save money for a down
payment

• 1. Clear Your Credit Cards
• When you owe money on your credit cards, the
  compounding interest charges make it difficult to
  clear that debt.
• Slash your debt load and keep that cash for
  yourself.
• List your debts, then pay off the balance on the
  card with the highest interest rate first.
• Once thats cleared, focus on the card with the
  second highest rate.
• This way, youll clear your card balances.
• It's known as an avalanche method of clearing
  debt.
• By clearing those credit card bills, you can save
  some money instead.

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• 2. Leverage Special Programs
• Many first-time home buyers struggle to save for
  a down payment.
• If you're one of those, there are several
  programs in the market that can assist you.
• Some government-sponsored agencies buy mortgages
  and package them as investments.
• Also, some non-profit and community groups can
  support buyers who are trying hard to save money
  for a home.
• Moreover, there are also state agencies that can
  help.

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• 3. Tap Your IRA
• Tax laws will allow you to withdraw some money
  from your IRA funds.
• If you're married, then you can withdraw from
  your retirement account, meaning a solid down
  payment.
• Under the tax rules, you qualify if you haven't
  owned a principal residence during the three
  years prior to buying the new home.
• Under these circumstances, the penalty for early
  withdrawal is waived, but you may owe tax on the
  money, depending on the type of IRA.

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• 4. Get a Financial Gift
• If youre owed money, nows the time to collect
  on it.
• If you have a family member or friend that is in
  a position to help, it doesnt hurt to ask.
• You can use gifted money as a down payment on
  your home.

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• 5. Save More from Work
• When your salary is raised, save that increase in
  a separate savings account.
• It seems like a small amount, but it'll soon add
  up.
• Save bonuses, extra sales incentives, or tax
  refunds in this separate savings account.

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• 6. Get Rid of Your Extras
• If you and your spouse both have a car, sell one,
  share the other, and get rid of one car payment
  installment every month, as well as maintenance
  and insurance costs.
• You could save thousands of dollars per year this
  way.

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• First-time home buyers, particularly those on
  a lower income, often find it difficult to save
  money for a down payment on their dream home.
  Buying a home is probably the biggest investment
  you'll make in your lifetime and its not always
  easy to save. If youre looking to purchase a
  home in the future, now is the time to start
  saving for a down payment.
• Drew Mortgage Associates, Inc., the best
  mortgage lender in MA can help you with mortgage
  loans at a lower interest rate. We can help
  eligible individuals with mortgage loans that may
  not require any down payment.
• Read More https//www.drewmortgage.com/h
  ow-to-save-for-down-payment/

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DREW MORTGAGE BRANCH OFFICES
Drew Mortgage Associates 196 Boston Turnpike
Road Shrewsbury, MA 01545 Phone
508-753-1656 Website https//www.drewmortgage.com
/
Peabody Mortgage Lenders 1 Mt Pleasant
Drive Peabody, MA 01960 Phone [phone]
Boston Mortgage Lenders 232 Commercial St Boston,
MA 02109 Phone [phone]
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