Buying a house has always been an important part of our long-term financial goals. It’s something to strive for, something we should all work hard for and be proud to achieve. Once you’ve got your retirement savings working on autopilot, saving for a home may be a smart next step.
Buying a home as soon as you can also allow you to begin paying down your mortgage so you’ll have a paid-for place to live during retirement. Housing is the biggest expense amongst your financial goals, and buying a home as early as possible means you’ll maximize the chances of being able to pay off your house before you leave the workforce for good.
Determine how much you’ll need for a down payment for an affordable house, create a timeline for home ownership, and allocate your extra cash toward a fund that will allow you to put 20% down on a home. EMI’s can be serviced through your regular savings.