Almost Half of Millennials and Gen Zers Say Saving for a Home Is the Hardest Part of Adulting. Here Are Some Tips to Hit That Goal Sooner

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Saving for a home is hard, but with the right strategy, you can speed up the process. 

Buying a home isn’t something everyone wants to do. After all, when you own a home, you’re responsible for not just a mortgage payment, but also, added expenses like property taxes and homeowners insurance. You’re also responsible for maintaining that home and addressing repairs.

But even if you’re willing to deal with all of those things, you may find that the road to signing a mortgage loan isn’t all smooth. In a recent Insuranks survey, 48% of millennials and Gen Zers said that saving up to buy a home is the toughest part of being an adult.

If you’ve been struggling to save lately so you can buy a home, well, there are probably a few good reasons. First of all, home prices have been elevated for the past few years, so it takes more money to come up with a sizable down payment.

Also, inflation has been surging since 2021, and it’s been making everyday bills more expensive. It’s hard to sock funds away for a home down payment when you’re handing over extra money to cover everything from food to gas to utility bills.

Still, there are steps you can take to make good progress on your savings efforts. Here are a couple worth employing.

1. Make sure you’re really on top of your spending

Budgeting is something you may not have felt compelled to do in the past. But if your goal is to buy a home sooner rather than later, then you may need to get more serious about it.

Once you have a budget in place, it should be easier to see exactly where your money is going month after month. And from there, you might be able to identify spending areas to cut back on.

2. Boost your income with a side hustle

A second job is something you may not want to maintain forever. But if you’ve been having a hard time making progress saving your down payment for a home, then taking on a side gig for a year or two is something worth considering. The earnings you bring home won’t be earmarked for your existing set of bills, so you can use that money to boost your down payment funds.

In fact, having a side hustle is a good thing for new homeowners, because often, when you first move into a home, there are lots of things to address that can add up in cost. Replacing the carpet, buying living room furniture, and repairing a deck railing may not bust your budget individually. But collectively, they could. So if you get into the habit of working a side hustle, you may find that the extra money really comes in handy once you actually buy a home and realize there’s a lot more work to be done than you realized initially.

If you’re frustrated over the amount of time it’s taking you to save up a home down payment, you’re not alone. But if you stick to a strict budget and pick up a side gig, you may find yourself signing a mortgage sooner than expected.

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