Wednesday 10 December 2014

Creative Ways To Quickly Raise A Down Payment

Coming up with the cash for a down payment can be accomplished in a number of ways.


If you will be moving into a new home soon, you may be looking for quick ways to come up with your down payment. If asking close friends or parents for a loan is not an option, there are several creative ways that you can raise the money on your own.


Mortgage Parties


Invite all your loved ones over for a mortgage party. You can charge a fee of $20 at the door, and provide your friends and family with quality entertainment, i.e. watching the football game on an HD flatscreen, or providing gourmet food, so that the door price will be justified. The larger the party venue, the better--this will allow you to accommodate more people and raise more money. Try having a barbecue and inviting all your neighbors and coworkers, as well as your loved ones who live nearby. Set up tip jars at different sections of the party, such as the station where you prepare steaks to order, or the specialty sundae stand where you create desserts for guests, to raise more money during the event. Ask those close to you for donations for party equipment that you don't have, i.e. extra grills, lawn furniture, so that you will only have to spend a small amount of money preparing for the event, and can make a substantial profit. Try to make sure that the cost of throwing the party is less than the profit you'll make with admissions, so that you'll have a substantial amount to put toward your down payment. For instance, if you invite at least 200 guests and 150 show up, you will bring in $3,000, not counting the tips you may receive during the party.


Down Payment Chart


Create a chart that will monitor your progress as you put money aside for the down payment. You can make sure that everyone in the family participates by leaving a 'tip jar' by the chart, so that your little ones can drop coins in whenever they pass by. Setting specific goals and marking them on the chart is ideal as well; for instance, writing the $100, $250, and $500 marks on your down payment chart will show you how far away you are from your goal, and will motivate you to keep saving. When you reach an amount displayed on the chart, celebrate by treating the family to pizza or ice cream, or another affordable activity that your family will enjoy.


To reach your goal quickly, you can set up a savings account that is dedicated to this purpose, and deposit a portion of your paycheck into the account every month. You and your spouse, or even your teenage child who is of working age, can all get part time jobs, and devote the majority of your earnings to the down payment. The more income you can generate as a family, the quicker you'll be able to mark off your goals on the chart.


Garage or Yard Sales


If you have a number of valuable items in your home that you are not using, or you want to get rid of quality clothing and shoes that you don't wear anymore, holding a yard sale will help you to raise the money for your down payment. You can also include big-ticket items in the sale, such as a second car that you are willing to sell, or a boat that you don't use often; these will help you to reach your goal of home ownership faster. Make sure that the sale is on a day when the weather is favorable and provide light snacks, i.e. homemade cookies, lemonade, to attract neighbors.

Tags: down payment, your down, your down payment, down payment, sure that, your goal