Yesterday I was reading some advice written for first time home buyers about how they can save up for a downpayment. The article had some great ideas but the author stated that 20% down is common. Actually it isn’t common. Down payments of 5% or less are far more common.
There are some downpayment assistance programs too. Just click on the graphic at the bottom of this article or in the sidebar. If you have a tax refund coming this year that just might be the start of your down payment savings. Personally I like to make automatic payments to my savings account as a way to put money aside without thinking about it. I have also been known to eliminate or reduce a monthly expense and put that money into a savings account.
It does help to have a plan because it is always easier to spend money than it is to make it or to save it.
