Two Things That Can Help You Save Money When Buying A Condo

buildings in MakatiFor most people buying their first home is a significant step towards independence. However, it’s also a huge financial decision that not everyone is ready yet. Saving up for a condo for sale in Manila that’s ready for occupancy may seem like a daunting task. A lot of people may even feel that saving five figures on their bank may seem almost out of reach.

Although saving up for a down payment may seem too impossible, there are ways to make it much easier.

Know how much you can afford

One of the first steps that you have to do when choosing a condo unit is to know how much you can afford. According to CNN, lenders will generally limit your mortgage amount so your monthly mortgage payments won’t go over 28% of your pretax monthly generated income. However, if you’re income tends to fluctuate, then the lender may probably limit your mortgage amount to at least 20%.

Don’t accumulate any more credit card debt

Credit cards can be a great tool for saving your money only if you know how to do it right. However, paying two huge bills at the same time may not do you any good. Bear in mind that credit cards have huge interest rates if you don’t pay it in full. Moreover, making only minimum payments may affect your credit rating as well. So it would be better to refrain from using your credit card for less important things for now.

These are just a few tips to help you save money for your future condo. You may also want to talk to your broker to see if there are any other options for you to pay the down payment. Your broker will be more than happy to help you out with your concern and ensure that you’ll get your dream condo much sooner than you would expect.