Owe money? Here’s how to accumulate a down payment for a home while staying on top of your debt.
With mortgages rates sitting near historic lows, now’s a great time to look into buying a place of your own. But what if you’re already carrying other debt, like a credit card balance or personal loan? If you’re trying to stay on top of that debt, or, better yet, pay it off ahead of schedule, socking away funds for a down payment on a home could be difficult. Here are some tips for how to pull it off.
1. Set priorities
Let’s be clear — you should not even contemplate falling behind on your existing debt payments to come up with the money to buy a home. In fact, if you do fall behind, you’ll be reported as delinquent to the credit bureaus, which will likely hurt your chances of getting