Housing prices have changed a lot. I had a conversation with a friend recently. He tells me he graduated from college, got his first job, and married his college sweetheart. “My wife and I wanted our own house. Our first house was about 2,000 square feet, two story 2BR, 1BA house, and the house cost $14,250. We put 20% down from some leftover college funds, about $3,000, and we were homeowners. Today the same house in Houston would cost over $250,000.” How to accumulate a down payment in 1 year, 3 years, or 5 years when a down payment of 20% equals $50,000?
Yes, my friend is no spring chicken. He’s old. He’s so old that he walked miles to school, in the waist-high snow, uphill both ways with a Pee-Chee to fight off the bears. A Pee-Chee was a yellow-brown folder used for homework and important papers his parents needed to sign. On the outside were pictures of football players and cheerleaders and school scenes that he filled in with pen and ink or doodled on about his girlfriend.
The big question is How to accumulate a Down Payment in 1 Year, 3 Years, or 5 Years? Here is what Trulia suggests:
Look at every single dollar you can cut from your current spending.
Don’t seek a minimum down house. That low equity loan encourages you to buy more house than you can afford. Stick to a 20% down and then only get a 15-year mortgage. You save a huge amount of interest.
Once you have secured a 15-year mortgage, read about the ways you can pay off that mortgage in less than five years by making extra payments each month.
When I was a kid, homeowners would have a party when the mortgage was paid off. It’s a tradition we need to bring back.
As investors, we are in business to make a modest profit on any deal. However, we can help homeowners out of just about any situation, no matter what! There are no fees, upfront costs, commissions, or anything else. Just the simple, honest truth about your home and how we can help you sell it fast to resolve any situation.
If you’d like to give us a ring, we would be more than happy to spend some time with you to help you understand the process and to get all of your questions answered. You can reach us at
You can reach us at 402 999.0577.