After years of anticipation, working hard and wishing, we’re finally buying a house. Those of you that have been around awhile know just how long I’ve been dreaming of this. We have lived in a third story two bedroom apartment with two kids for long enough. It’s time for every one to have their own room!
This post was originally published in 2014 I updated it a bit and am re-sharing the tips today!
How to save for your first house
The thing is, my husband and I got married when we were 18, and had two kids pretty much right away. Right now, we are only twenty four years old, but we’re doing this. We’re buying a house with a good amount for a downpayment and plans to pay it off completely as quickly as we can. This post contains affiliate links.
So how did we do this? Well, we did some crazy things, not all of these would work for every family, but this is what worked for us.
- We skipped college – I’m not anti college but I do not think it’s the right choice for every child. My husband and I both skipped it completely. This means we have no college loans to pay back and we didn’t start our marriage already in debt. We both started in average jobs barely above minimum wage and worked up from there. Three years after we got married, I quit my job to stay home full time with the kids, and we’ve lived entirely off of his income ever since.
- We worked hard (Like, crazy hard) – This goes with the above. We worked really hard at our jobs. My husband went far above and beyond his job description and it’s helped him to advance quicker than average at every job he’s ever had. He would put in extra hours for free to learn different aspects of the job and just to make himself more useful to the company. Though it doesn’t always pay off in the moment hard work does pay off in the end as it has allowed it him to move ahead quickly!
- We lived beneath our means – When one or both of us received a raise in pay, we did our best not to change the way we were living, at all. We continued to pinch pennies and be thrifty with our shopping, even when our income went up. This meant more money into savings each month as time went by. (We aim for a 10% of our monthly income into savings each month).
- I didn’t cut my hair – This may sound silly but it ended up saving us quite a bit! I prefer my hair to be very short, so even using a cheaper hair stylist, it was still costing too much. To maintain my short hairstyle I have to get my hair cut every 6 weeks or so. I did the math and realized that was a minimum of $200 spent just on my hair every year. I made the choice to grow it out until we bought a house to save that bit of extra money.
- We carpooled – We only have one car, so my husband rides to work with his mom most days. It saves us on gasoline and also means we don’t have to pay car insurance for a second car just yet. Next year, our car insurance rates will go down since we’ll finally be past that under 25 mark, where they make you pay extra for insurance! Maybe we’ll get a second car then.
- We axed the tv – We don’t have cable or satellite TV, in fact, we don’t own a television at all. Instead we use our laptops to watch movies and pay the $8 a month for a hulu plus subscription to keep up with all our favorite shows.
- We Consigned Clothes – Kids grow ridiculously fast, so I made a habit of taking whatever they out grew to the consignment store. This is actually a decent bit of work, but it also meant that little bit of extra income, so I went ahead and did it. We also only purchased clothing for the kiddos from consignment stores. It’s amazing how much you can save on clothes if you simply refuse to pay full price!
- We Cloth Diapered – I know this might seem extreme for some, and honestly I didn’t think I would like it. I had no choice BUT to cloth diaper when our son was born, because we simply didn’t have the money for disposable diapers. Turns out I loved cloth diapering and ended up preferring them! It saves you about $700 a year using cloth!
- We Saved – Ok, I know that sounds obvious but from the get-go we added saving into our budget. 10% of our incomes went to savings immediately after we received each paycheck. If we had leftover money at the end of the month, we put that straight into savings as well. Tax returns? Straight to savings. We pretty much avoided all “extras” and saved. I would see a cute $8 top at the store and think “do I want this more than a house?” and 9 times out of 10 I’d put it back and transfer $8 to savings as if I had purchased it. Save, save, save!
- I started working from home – Last year, I began to work from home as a professional blogger. I really wasn’t sure how much I’d be able to make, but since I was spending so much time on my blog anyway I figured it was worth trying. My husband and I were both pleasantly surprised at how much can be made blogging! I created a separate bank account for my blog and we put everything I earned (after taxes) towards the house. It was amazing what a difference just 8 months of me working from home made! Since we were only saving about 10% of my husband’s income and saving 100% of mine (after taxes) it really pushed us over the edge and allowed us to get a house two years before we had thought we’d be able to make it work! More info on how to grow a blog to earn money check out this post!
Are you looking to buy a house (or pay one off)? What is your best tip for saving up for a big purchase like this? Have you tried any of my 10?
bonus tip!
When you get to the point that you just can’t stretch the budget any more than you already are, I recommend trying out swagbucks. It’s a free site (and app) that allows you to earn points by doing simple things like searching the internet, participating in simple polls, watching videos and more. Some of the tasks are SO EASY and others take more time, but it’s always up to you which ones you participate in. Rack up your points and exchange them for gift cards to places like Amazon and Target! Sign up here and get 150 free points just for signing up!
Stephanie @ Jornie.com says
Love it! We have done most of these too and have been in our own place for the last year and a half (26 years old here). :) Would have been longer but we waited 9 months to close on it since it was a short sale, but it was an amazing deal! The “living beneath your means” thing is HUGE. There are so many people that live right at their limits, and (surprise) they are usually the first ones to get into trouble when a job loss or financial problems hit. Besides, you can’t pay off any debt OR save when you are using all that’s coming in. Great list!
Lindsay Eidahl says
Great post! I would love to be making more money with my blog! Hopefully soon!
Shew says
My hubby & I did a couple of crazy things in order to buy a house very early in our marriage. I had moved home with my parents after college and soon after I met my hubby. When we knew would marry (we knew pretty quick), my parents allowed my future hubby to move in so we could save rent (we maintained separate rooms). After we married, my parents invited us to continue to live with them to save money (we paid them a meager rent) to help us purchase a house faster. Although that first year was very difficult, it was well worth it as we were able to purchase a house with a nice down payment. Over the years my husband has had some career advancements (and pay increases) & we’ve strived to live within lesser means. The only debt we have ever gone into was taking out a loan to purchased a car (done 3 different times over many years). Over the past five years or so, we also put an extra $100 towards the mortgage payment every month which GREATLY helps pay off the loan faster. I wish we thought to do that long ago! (Any extra amount towards the principal each month helps in paying loan off faster)). We’ve been married 17 years… and, Lord willing, our house will be paid off in less than three years! I never in a million years thought I could outright own my home before the age of 45…
Glenys Smith says
Hi, I am 60, my partner 55 we met almost two years ago, he was finalising a separation and divorce which was leaving him quite near bankrupt and with paying his ex off that almost took care of any equity he had in the house.
We secured the loan to pay his ex out against my home which I owed $30,000. We got a loan for just above $220,000 to keep the home we were now living in together. I was widowed and retired when I met him, I have gone back to work, and a year later we have renovated most of the house, only the bathroom to go. We have put a new roof on, new aluminium windows in. had the house clad, laid a floating floor through the main living area’s and recently bought enough carpet ( off cuts at a cheaper rate) and once we have finished plastering the hallway will have the carpet laid. We have done all of this and paid cash and are approx. $11,000 ahead on our mortgage repayments. I salary sacrifice $500 a pay to our mortgage which equates to an extra $13,000 a year. I have rented out my place which covers the mortgage on that house, and will be looking at selling the property when prices raise as I had overcapitalised with work I had done there. We are looking at paying extra to the mortgage each fortnight once the bathroom is renovated. My aim to have the house paid off in 10years max, then I can retire and my partner can cut back to part time. I only work part time so I may choose to go to casual on call if my health is ok at that stage. (I had a heart attack in Dec 2012) We had budgeted on his wage from two jobs, and my pension initially but I managed to get casual work in mental health supported accommodation and was then offered a part time job, mainly weekends and sleepovers and I earn as much in 20hrs as I would if I worked Monday to Friday 9-5 because of the penalty rates. It is so exciting to see the mortgage dropping and when I sell my old place that will put another $40,000 hopefully of the mortgage and bring our dream a little closer.
Glenys Smith says
PS… we are getting married in July we will have known each other 2 years then, we are having a small wedding with an afternoon tea ( more cost effective than a sit down meal)
Jill says
Congratulations! I was about the same age when I bought our home. It’s a fun road, but I am glad I don’t have to go through it again!
Sidenote: Your car insurance probably won’t go down because you turn 25. It’s usually your age OR getting married. Double check with YOUR agent to make sure, but mine did not at 25 because I was already married!
Paula says
Thanks! Yeah, we are hoping for this to be our last house we ever buy. Such a hassle!
We got married when we were 18, so ours didn’t go down :(
Kylie says
My husband and I are 24 and 25 and buying a house right now, too – a lot of similarities in our stories! We followed a lot of these as well, and the biggest one for us has been to live on (much) less than we make. It is amazing what you can do on even a modest income if you are intentional about saying “no” to a few small extras in favor of bigger goals!
Sheila says
Congratulations Paula !!! Great list and great advice for anyone starting out. You will have to keep us up to date on the rest of your journey.
Hugs, Sheila
kim says
Paula–this is awesome congrats. I am a BIG believer in the consignment of kids’ clothing. They grow so fast, and it’s heartbreaking to look at clothing that has barely been worn go to waste. It’s also a great way to secure new, nice clothes for your kids (sometimes using the credits that you receive after turning your clothes in).
Glad you listed this, as not enough people take advantage of this!
Carrie This Home says
Congratulations on buying your first home! It’s so exciting, isn’t it? I love this list of tips–and I can see where each and every one saves money over time!
Jen says
Nice! Good for you guys! I had a girlfriend who did the exact same thing, essentially, and bought her first home when she was 21. I totally admire her :) I bought my first home when I was 28….a bit behind you guys, but proud nonetheless. I love your advice and pleasant, positive tone – very refreshing!
Mothering From Scratch says
{Melinda} Wow! I’m not as disciplined at 44 as you are at 24! Amazing! I can definitely learn from you, my friend. This will pay off in debt reduction, but ESPECIALLY in peace of mind. Which you can’t put a price on!
Loved your recent post about why you don’t have family dinners anymore…. I have teens and we’ve given it up (for the most part, too). It’s just not where our quality interaction happens anymore. It did for years, but not anymore. Kids’ schedules are too unpredictable between tutoring, sports and other activities. We’ve found other ways to connect. I never thought I’d say that. I was such a STAUNCH proponent of family dinners. I still am! But I think we have to be flexible when it’s just not working for our families.
Lauren says
We save and save and then we save some more, lol. I’m so with you. We buy almost everything used. And I love cloth diapering. It really isn’t bad at all, and I think kids look super cute in them too! I also never cut my hair; mainly because I can never find the time to get it cut sans children. So there ya go! Saving by default.
Rachel G says
My brother-in-law and wife just bought a house at the ages of 23 and 21–they also didn’t go to college, at least not before buying a house. He went into the military after high school for 4 years and is now going to college, and the military is paying for it. They have one son, and I’m impressed at the great choices they’ve made in order to be able to afford a house.
Me on the other hand–my husband and I have decided to go for a more transient lifestyle, we’re moving overseas soon and I’m glad that we didn’t purchase a house early on in our marriage…it’s quite possible we will be renters for our entire lives, and while that’s not the lifestyle I imagined for myself, I’m quite okay with it.
Julie @ Girl on the Move says
Congratulations! That is quite an accomplishment that you should be very proud of! Stopping by from SITS Sharefest!
Norine of Science of Parenthood says
Genius!
Katherine says
Cloth diapers! OMG This brings back memories. My cousin (almost my mini me) is 10 years younger than me and I remember her being in these. Such a blessing for my Aunt and Uncle at the time.
Also I remember her saying the set was once mine for when I was born. Such touching memories. This post made me not only want to find that special someone and make it final but also made me look forward to the future (keeping my fingers crossed for two).
Thank you so much for sharing this. It is really inspiring to know that someone around my age made it happen! Congratulation!
Marisa says
Hi, I do almost all that, and like you I can save a lot at the end of the year. Good tips.
Michelle says
I agree that college is not for everyone. It has become such the “norm” that everyone has to go to college in order to be “someone” in society, which I think is not the case. My husband and I both went to college as well as my sister. We all have jobs. My sister’s husband also has a job-but he did not complete college. Instead of a degree, they have student loans for absolutely nothing. I firmly believe that college is not for everyone.
Great job on buying your house. I hope that is in our near future as well!
Amanda says
Wow amazing. I know your bio says young mom. But you are wise beyhond your years. I feel old (at 28) reading this.
I know it’s not easy being a homeowner but we’ve been here since 2008 and it gets better every year.
We even considered selling and buying again but then decided The Lord was pushing us to stay :)
Blessings and Love in your new chapter
Amanda
Claire says
This is my home buying tip, though it is really more of a life tip: Stay out of debt, stay out of debt, stay out of debt. This was hinted at when you mentioned no college = no student loans. Grants, savings, scholarships, etc can also mean no student loans. Never pay interest on a credit card, never take out student loans, pay off cars and homes as quickly as possible, never take out a loan for a mattress or TV.
My husband and I graduated from college debt free and within one year of graduating and having a good job we’ve saved up enough for a down payment on a house. We couldn’t have done that if we’d had student loans or credit card debt.
It doesn’t matter how much you earn, you will always be poor if you owe more!
Lydia @ The Thrifty Frugal Mom says
This is so inspiring- I love reading posts like this! And congratulations to you all for sticking with it and being able to buy your first home. It’s an amazing feeling!
We too did many of the things that you all did and bought our first house when we were 25 years old, just 5 months after we got married. By God’s grace, a lot of hard work and a lot of sacrifice, we were able to pay it off just 5 years later and during that time we also did quite a bit of renovating to it as well. There were times along the way that I wondered if we were nuts and felt a bit discouraged but it was totally, totally worth it!
A couple of things that we did that helped:
* Bought in the city. We live in an area where land is super expensive so this was a much cheaper option and we were able to get a nice house with a small yard for way less than we would have otherwise.
* Bought a foreclosed fixer-upper. My husband is a Mr. Fix-it of sorts and so we did a lot of the work ourselves. I think this is the thing that caused me the most discouragement though. I don’t enjoy that kind of thing a whole lot and it felt like a HUGE task.
* Went on very few vacations. During those first 5 years of our marriage we took very few vacations and did very little traveling. Sometimes that was really hard because we had several friends that it seemed were always doing fun things that we felt like we couldn’t afford to to. But keeping the goal of being debt-free homeowners helped a lot!
All the best to you as you enjoy this new phase of your life!
Elizabeth says
Congratulations!
Mindie Hilton says
Congratulations on the home. Great tips. Congratulations on the successful blog too. I hope you will join us on Friday for our Anything Goes linky. We are hoping to move into a bigger home eventually with more land for farming. We are even considering a new location. Exciting but stressful.
Elise @frugalfarmwife.com says
Love ALL of these! Some things, like cloth diapering seem like a lot of extra work at first, but after you get used to it, you find out it’s not such a big deal after all! (or at least, that’s how it worked for me).
Because of my husband’s food allergies, probably the biggest way I save money these days, is grinding our own flour. It’s amazing how much money we save doing that!
Debi and Charly @ Adorned From Above says
Thank you so much for sharing with Adorned From Above’s Link Party
Debi @ Adorned From Above
Mary B says
My fiancé and I bought our first house last year at age 23. We did a couple of these, but didn’t skip college or become a one car family. We just worked harder and got grant money and scholarships for school. This led to full-time jobs well above minimum wage for both of us prior to graduation. Outside of work he does additional body work and I work from home online to make extra money. This way we were able to afford a home we actually loved. We are hosting our wedding in September of this year in our own back yard. Shortly after we will be starting our family. We did some pretty crazy things to afford our house at 23 too, just a different kind of crazy… like eat ramen noodles for a week straight, work three jobs while attending school, and cut dryer sheets in half crazy.
Paula says
Ha! Another Paula!! My husband and I lived in an apartment for three years. We got married the third year, bought our first house and never looked back. I agree, college isn’t for everyone. My husband had gone to trade school and was in the military (before I met and married him), we had the VA loan which was our ticket out the door of the apartment and into our home.
It is 21 years later and we are now in our second home with 2 almost full grown kids and us nearing empty nestdom!
It has been worth it and I don’t regret anything if I had to do it again!
I work in the school system and I also am a professional CDL driver. I have always had the more flexible job once my kids were grown so I could be there for them whenever needed. It has worked for us. I
College has been a dream of mine but I manage with just taking classes in things that interest me. It keeps my mind sharp and I learn new skills here and there.
Thanks for sharing, nice to see someone else who is forging their path, and with the name like “Paula” I am sure you’ll do fine!
Sandy says
Great tips! We also cloth diapered. I love it too. We have no cable/satellite/streaming service, but we rent a lot of movies and tv series from the library. That is also where I sign my kids up for free activities and classes. Garage sales and consignment shops are where we get all of our clothes and we cook a lot of stuff from scratch and freeze the leftovers for easy to grab lunches. I also only get my hair cut about once per year and cut my kids’ hair at home. We have taken our kids on vacation, but when we have gone we purposefully plan tripa for the off season, pack as much food as we can in coolers and ask close family members if they’d want to make a Christmas or birthday gift for the kids be tickets to get into a theme park. We are on our way to (hopefully) having our mortgage paid off in half the amount of time. Being debt free will be such a relief. :)
Bernie Kittycat says
That is terrific! I did EVERYTHING wrong and at 42 am finally seeing a light at the end of the tunnel. I went to college without a goal – TWICE, racked up TONS of debt, bought a house BEFORE the crash, & married someone with TONS of debt. Seven years ago my husband and I were spending a grand more than we were making EVERY MONTH. It was sad and dark. We put off even thinking about kids and each of us worked 2 jobs for 2 years. I cashed out my 401k to pay off ONE of our credit cards. We skimped and saved. We held on to the house I bought but still owe twice what it’s worth. By the end of 2015, barring any other major problems (Lord, hear my prayer), we will only have a mortgage payment. No student loans, no credit cards, no medical bills, no car payments. Luckily we were able to save my husband’s 401k and will build off of that for retirement. We have two beautiful daughters, 3yo & 4mo. I can’t begin to tell you how much I will try to impress on them to do exactly what you have done. It’s been hell doing what I did. God bless.
Femme Frugality says
What a testament to the power of making and saving money in conjunction! Congrats! We’re in pretty much an identical situation, and this is our biggest immediate goal.
Courtney says
Great tips! My husband,me and our 2 kids (2 year old and 2 month old) just left our 3 bedroom apartment and moved into a trailer last month to save for a house! It’s pretty crazy and everyone thinks we have lost our minds. Lol but we are determined to buy a house! I’ll be 25 this month!
Marisa says
I’m 23 and pregnant with my second baby. We are hoping to buy a house soon so your post has been very helpful. Thanks!
Flipthyhouse says
Buying a house is one of the most expensive purchases you make. Thanks for sharing!
Tiffany Smith says
Saving for your first house can seem daunting, but with a clear plan and disciplined approach, it’s definitely achievable.