It's not fun, glamorous, or enjoyable. Yet, creating a budget is a necessary part of life and is essentially the first step towards financial stability. Having a working budget in place will help you identify exactly where you stand with your finances.
It can often be difficult to figure out exactly how much money you spend each month. Creating a budget can help you plan ahead to learn how you save money for important things in life like buying a home for the very first time!
So how do you do it? How do you budget for a house? How do you begin saving for a home? How do you go from renting and living paycheck-to-paycheck to saving for your first down payment?
Don’t fret! You CAN become a homeowner. Emerald Home Loans is on your side and understands that managing your finances can be stressful and difficult to understand.
Download Your FREE Monthly Budget Worksheet Here
The first thing you'll need to get a grasp of is your income. Income is the money you expect to receive every month. Make sure you include take-home pay and any other sources of income such as interest, social security benefits, pension payments, alimony, child support, etc. Keep in mind, if your earnings are irregular, it’s better to underestimate than overestimate your income.
From here, you will want to keep track of your monthly expenses. Some expenses stay the same (rent/mortgage payment) from month to month and other expenses will vary (food, gas, clothing).
We’ve created a FREE Monthly Budget Template to help you get started. You’ll find that it is much easier to see everything once it is written down as it allows you to see if there are any drastic changes in your monthly bills.
In the end, a budget can help you spend more mindfully allowing you to save up for your dream home!
Download our First-Time Home Buyer Guide, too!
