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Ways to Save for a Mortgage Deposit

May 10th, 2017 Posted in learning about money
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Buying your first home is a big step, and if you want to avoid falling into the trap of forever renting, there are several things you can do which will speed up the saving process. Here is a quick guide to get out of rented accommodation and to saving for a house deposit.

Whether you are looking to buy a luxury Meriton apartment or a simple two-storey home, it is likely that you won’t be able to save much money if you are renting. If you feel that you can sacrifice your personal space so that you can save, there are a few options for you.

One option is to move back in with your parents for a little while. However, only do this if you get on well with your parents and live close to them. If moving in with them will add another hour or so to your work commute, it’s hardly worth it more the extra travel expenses. Talk to them about how much you will stay, what you will contribute towards rent and how you will help out around the house.

It is also possible to sub-let your spare room and get a lodger. This will help subsidize the cost of your home and allow you to gain control of your finances and save for a deposit. Before you start searching for a new flatmate to move in, you will need to talk to your current landlord and see if they are happy with what you are planning. They may agree to either of the following options:

  • Advertise commercially for a new housemate and reduce your rent
  • Allow you to advertise and sub-let the spare room in your rented accommodation

Either way, you will be saving money on your rent and able to put more away. Be strong, and remember that this extra cash isn’t supposed to be for extra fun and set up a direct debit to go straight into your savings.

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If neither of the above are options for you, it’s probably time for you to look for a cheaper place to live. Ask around and see if any of your friends have a spare room that they are willing to rent out for a few months – remember to talk to them about rent, bills and what you will do around the house before agreeing to anything. If you have no friends with a spare room, then there are loads of websites available which advertise rooms in shared houses, such as:

A house share will be much cheaper than renting a house or apartment all by yourself, as you will be splitting the cost of the house between several people. This should enable you the wiggle room to save more money and, eventually, put a deposit down for your own home!

It can be difficult moving into someone else’s space and living with them, especially if they are family or close friends and you are used to living alone. Remember that they are probably feeling the tension too, so do your best to help around the house and not make a mess!

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Is It Affordable To Move Abroad?

May 10th, 2017 Posted in learning about money
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At some point in our lives, we will move home. It might be that we move out of our parents home, sometimes the childhood home, into a new place of our own. It might be that our family grows large and we need to move from a smaller property into a larger one. There are almost no end to the reasons that people choose to move homes. Whether it be for financial gain or a better standard of living, people do move homes for plenty of reasons. These could be good reasons, or they could be bad reasons – but there are plenty for moving!

One of the reasons that people choose to move home is to experience new horizons. Now this could be a move from a new city from a smaller one, or a move from a big city to a smaller town! It could also mean moving abroad. Wait. Can you actually move abroad? Yes! Of course, you can. Is it affordable? Well – that is a separate question entirely. It depends on how smart you are in regards to the moving situation. Handling things poorly during a move abroad can stump up the cost – and if you don’t understand the language or laws – then your move could be disastrous.
Moving abroad means wonders for the sense of adventure that we all have, but that doesn’t mean we should rush into things. Time is valuable, but if you save time and cut corners planning the move abroad, it could impact more than just your bank balance. If you can establish a half-year buffer between now and your move, you should do so. Rushing into deals and arrangements can have a huge impact. What’s more, you can find better financial deals on homes, rentals, flights and other things by making arrangements well in advance of your move.

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Home prices will vary region from region, and laws will too. Purchasing a house and agreeing to a mortgage could be disastrous. Try and rent for a few months first and see if the move agrees with you. If it does, work out how home-buying works in your new country of residence and buy your home! Make sure it is affordable though. If you are simply living abroad on a temporary basis, then renting is a superb way of saving costs and commitments. Of course, you need to do a lot of work as well. You need to bring your belongings and family over. Try not to bring everything, as this will be costly and stressful to you and if you can sell stuff to raise funds, even better! If you do need to bring stuff over – consider international removals services that can help move your possessions to your new home.

Moving abroad whether it be a temporary move or a permanent one will always be stressful. It is moving to a new world! Is it affordable? Yes – but it will almost always be more costly than simply owning a home in your current country due to initial costs. It isn’t impossible, though.

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Tips on Teaching Children About Money

May 9th, 2017 Posted in kids and money, learning about money, Money Tips, teaching children about money
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Children tend to think that money grows on trees. Most children can’t walk through a shop without asking if they can have something. A simple ‘no’ may result in a meltdown if you have an infant in the family. It’s all part and parcel of parenting, but so is teaching your child about money. There will come a day when your children will have to know that you work hard to give them what they have and that the value of money is important. So, how do you teach a child about money?

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Let Them Handle It

As your child gets old enough to do sums, let them handle money. Use the money to work on their mathematics skills at home. You’ll be surprised how a jar full of pennies can occupy a child. You may also want to let them calculate what they spend when you’re out shopping. For instance, if your child has birthday money to spend, ask them to stay within their limit by adding up the cost of their items. You can also ask them to pay at the till and wait for any change.

Give Them a Goal

If there’s a particular toy your child wants to buy, ask them to save for it themselves. As parents its an instinct to provide your child with their needs and wants, but it’s a valuable life lesson. Offer to give your child pocket money in exchange for good behaviour, completed homework and completed chores. Agree on an amount per week and let your child work out how long it will take him/her to save for what they want.

Explain Bills

Unless you explain it, your child may not realise there’s such a thing as an electricity bill. Children have a habit of leaving lights on, wasting water and leaving the TV on when no-ones watching it. If you explain that every time they put a light on it costs money, they may think twice about doing it. You can also save money by switching energy providers. You can compare energy providers at Selectra energy comparison specialists.

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Teenage Spending

As your children get older, their wants get more expensive. When your children turn sixteen, encourage them to get their first job and save for the things they want. That may be their first car which could be the most money they’ve ever spent. Teach them how to budget their money so they have money left over to save and put towards a reliable car. Here are some of the best new cars for first time drivers.

Be Open

Remember the old chestnut, ‘not while you’re living under my roof’? Past generations didn’t tend to explain why they had to say no. If you haven’t got the money to buy something your child wants, tell them why. Explain that your money has to go towards higher priorities. They won’t always understand but giving them a reason is better than telling them that you know best. They’ll thank you for being open and honest in the long run.

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Why teaching your children responsible finance is important

May 4th, 2017 Posted in kids and money, learning about money
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There will come a time when you will sit your children down and tell them how the world works. You care deeply about them, so you’ll teach them how to take care of themselves financially. You may have gone through points in your life when you have had to be frugal and times when you have invested. To set them up with the best knowledge, advice and respect for money, you will need a little help.

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Image – StartupStockPhotos

Teach them, don’t lecture them.

Start them off young. You may find lecturing your children how to be responsible with money and taking care how they use it, might be a fruitless exercise. But there are dedicated routes you can put them on, where information in fun bite-sized portions can instil in them the values you want. Millennials by the age of 15 are beginning to understand how the economy works. Instead of sitting them down for a long talk about ‘pennies make the dollars’, give them something they can digest in their own time. Books on avoiding debt and having self-restraint can be a gift on a holiday or for their birthday. Don’t force it down their throats, they are, after all, going through a rebellion period at this age.

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Give them responsibility

Don’t patronise your children, the youngsters today aren’t what they used to be. Technology is at their fingertips, and most kids understand it; more than you might think. Take them with you to the bank, and set up a bank account in their name. Bring them through the process and let them ask you and the branch’s financial advisor questions. Another excellent strategy to get children interested in learning about finance is to go their school and request a fun segment with books, theatre and art on money, be incorporated into their everyday learning.

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A family project in renovating

For the keen, sharp-eyed investors, a property is there to be bought and sold. For the young entrepreneur, the property can be their very first business venture. Buying houses or apartments to renovate then sell, is a fantastic way for teenagers to become their own boss. As a parent or young entrepreneur, working with people you can trust such as family is crucial in taking the first step in the world of risk and reward. Buying an old house with your pooled resources and renovating the property into a modern family or professionals’ home, is a great route. When buying the materials you intend to use, look for deals, buy in bulk and plan out your budget and purchasing schedule. You will most likely be doing the renovating yourselves, so take the time to research the methods of professional builders to avoid time-consuming mistakes. When done correctly, your prudential real estate will be a hot potato, ready to be scooped up by many professionals.

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Credit – Mark Moz

Selling your hard work

Property development can be a lucrative business. It not only stirs one’s creative juices but also requires the developer to do the research that will make their property incredibly attractive to the market. When it finally comes to selling your investment, auctioning your property to the highest bidder, rather than a fixed price set by a surveyor could give you more than you expected. You’re on shaky ground at this point, because different estate agents will quote you different prices. Go online and find a company with a track record that surpasses the competition, and will fight for you and sell your hard work for the absolute maximum.

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Suggestions For Raising Emergency Capital

April 23rd, 2017 Posted in learning about money
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There might come a time when your family needs cash in an emergency. Maybe you’ve suffered home damage, and you can’t afford the repairs. Perhaps you’ve got to stop working due to illness? Whatever the reason, finding the money you need is often hard. That said, there are many ideas people tend to ignore. With that in mind, this article contains some “out of the box” suggestions you won’t want to overlook. Read the information carefully, and then see if any of the concepts could work for you. At the end of the day, you need to try everything possible to get back to stability.

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Remortgage your family home

The easiest way to get the money you require involves remortgaging your family home. If you’ve made repayments on your current deal for more than ten years, you could place thousands in your accounts. You just need to search for the best remortgaging offers around at the moment. If that doesn’t work, you could always sell your home and downsize. Even so, there are comparison websites you can use to spot the best deals. Don’t make the mistake of using the same company you’re with at the moment. In nearly all instances, you will find better rates elsewhere.

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Auction your valuables

If you’re one of those people who likes to collect rare items or artwork, now could be the perfect time to sell. When all’s said and done, it’s better to have a roof over your head than a pack of original Star Wars figures. That is especially the case when you consider that some collectibles sell for thousands of dollars. Take a look at everything you own, and then browse some auction sites. If you discover you have something worth a lot of money, you should sell it as soon as possible. It could help to get your family back on track. Also, you can always buy another item when your finances are in order.

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Sell your structured settlement

Lots of people accept structured settlements these days when it comes to injury compensation and court cases. That means they’re awarded some money, but they get it in installments. Most folks don’t realize this, but you can sell that settlement and get a lump sum. So, perhaps that’s a potential solution to your financial issues? A CBC Settlement Funding structured settlement review highlighted the ease of the process. You lose some cash, but at least you get a bulk payment. With a bit of luck, you could have the money in your accounts in a couple of days.

Now you have some alternative ideas for raising the money you require; we hope you won’t get too stressed. There is always a solution if you keep your eyes open and try different avenues. In cases where you can’t find the cash, you just have to contact your creditors and explain. They will then come up with an affordable arrangement after considering your position. At the end of the day, it’s in their interests to do that.

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