Buying a home requires planning. So, whether you’re saving for your own home or looking to put some money aside to help your children get on the property ladder, receiving the best advice is important.
Securing your dream home
Most of us want to own our home. Unfortunately, rising prices might make it feel like it is out of reach. However, equipped with a financial plan based around sound saving you can accumulate the funds necessary to put down your first deposit and secure that special place.
Over the past decade, house prices have been rising. While the value of your ideal home today might be €200,000, five years down the road, prices may have risen. If you’re only saving on deposit, the reality is you could be falling further behind your house deposit objectives.
Cash in the bank is considered to be safe from the risk of investment markets but deposits pose a challenge when it comes to saving for a milestone event, such as a house purchase. Your money just can’t grow fast enough, especially at today’s low interest rates.
Getting your savings working
How you put your savings to work depends on how much you’re willing to save each month. Begin by asking yourself: how much do I need to save to afford a deposit, how much time do I have to let my savings grow and what financial vehicles can I invest in to meet my objectives?
An alternative to keeping money on deposit is to consider an investment bond or a regular savings plan with a pension and investment provider. Money doesn’t grow on trees, but it can grow when you save and invest wisely.
Tools to get you started
Knowing how to save for your goals is important, but you don’t have to be a financial genius to do it. Use our budget calculator to work out how much you can save. Our budget spreadsheet will also help you manage your income and expenses.