Buying a house is one of the biggest financial outlays you’ll ever make, so it’s understandable that some might find it daunting. The thing is, it really doesn’t have to be – it’s as easy as making a few temporary tweaks to your lifestyle so that you can allow yourself to save for a deposit. Here are 6 practical tips when saving for a house in Malta:
1. Build a Better Budget
Sit down with your bank and repayment statements and figure out where most of your money is going each month. If you don’t know where your money’s going, it’s almost impossible to begin putting money towards a deposit. Consider which expenses are essential, and which are non-essential. A budgeting app is a great way to help you automate this process if you find the prospect of calculating your expenses yourself just a little too daunting. When you categorise your expenses, look at where you can do some cutting back, but be realistic with yourself in terms of how much you can cut back on various things.
2. Consider Downsizing
“Downsizing” doesn’t necessarily have to mean downsizing your living space – it’s actually the process of reducing your expenses and living below your means while you are saving for your deposit. Perhaps you drive a car that’s expensive to run and maintain, or are spending far too much money renting your current apartment. Consider moving somewhere cheaper for a while, or trading in your car for something a little less fancy, but a little more sensible.
3. Reduce or Cut Out a Bad Habit
Do you have a bad habit that you could you potentially break? Regardless of whether you’re an impulse buyer, a little too fond of buying takeaways for dinner or would just like to quit smoking, you could potentially save hundreds of euros for a house in Malta every year by cutting out a single bad habit. The money that you’d be saving can then be used towards buying a house in Malta.
4. Consider Skipping Your Next Holiday
There’s no denying that exploring new places can be amazing, or that many of us are currently itching to get away and have some fun as soon as we can, but doing so can also cost quite a big chunk of money. Think about making a compromise when it comes to your next holiday – you could save a couple of thousand euros by just doing that. This money can then be used to buy your future home. Take an extended trip (just a suggestion) to Gozo instead!
5. Start A Side Hustle
In this day and age, it isn’t difficult to earn money with a “side hustle”. Perhaps you can take on some freelance work that you can do at home, or drive for a ridesharing company. It could be anything you like – just make sure you contribute the money you earn for your side-hustle to saving up for a house in Malta.
6. Rent Out Your Spare Room
If you current living arrangement allows you to rent out an extra bedroom in your house or apartment, you might want to consider online hospitality websites such as Airbnb. You only have to rent out the extra bedroom as and when it’s convenient for you to do so.