20 Insider Tips To Save Money on Every Part of Your Home

20 Insider Tips To Save Money on Every Part of Your Home

Cut costs on your mortgage, renovations and decorating.

By Gabrielle Olya July 12, 2021 Save Money at Home

The expenses that come with buying, renovating and decorating a home can add up, but fortunately, there are ways to save money every step of the way.

GOBankingRates asked real estate insiders for their best tips on how to save money on every part of your home, and their advice can help cut costs for anyone looking to buy a new home or renovate the one they currently have.

Here's how to save money in every nook and cranny of your house.

1. Get a Mortgage With No Down Payment

Find out if you qualify for a government home loan, as there are options that require no down payment at all. U.S. Department of Agriculture loans are available for borrowers in need who want to purchase a home in rural or suburban areas. Veteran’s Administration loans are available to active-duty or prior-duty service members and, in certain cases, their spouses and widows or widowers. VA loans are available through private lenders, such as NBKC Bank. VA home loans and USDA loans do not require a down payment.

“The greatest features of a VA home loan are that there is no down payment required if you stay within the county loan limits, and there is no PMI insurance ever,” said Jim Schneider, former army officer and a loan specialist at NBKC Bank. “On any other type of loan, if you put down less than 20% of the purchase price you are required to pay PMI insurance on the loan. This can be hundreds of dollars per month, which can be totally avoided by doing a VA loan. On top of those benefits, the VA loan will also have the lowest rate available among all loan types because it is the least risky loan a bank can do.”

2. Take Advantage of Down Payment Assistance Programs

If you can’t afford a down payment and don’t qualify for a mortgage with no down payment, that doesn’t mean you can’t buy a home.

“There are so many down payment assistance programs out there for buyers, so educate yourself,” said Dawn Houlf, realtor and owner of EXIT Realty Number One.

One option is a 203k loan, which can also help cover renovation costs.

“First-time homeowners who want to renovate their homes on a budget, or homeowners who opted to buy a distressed property for a good deal, should strongly consider the 203k loan,” said Than Merrill, founder of real estate investment company CT Homes. “A 203k loan is a type of home renovation loan that is backed by the Federal Housing Administration.

The loan includes both the cost of purchasing a property, plus the estimated costs for renovating it. Homebuyers that wish to rehabilitate an older or damaged home can get approved. Not only will this loan cover home upgrades, it also allows borrowers to put down 3.5% on their homes as opposed to the standard 20%.”

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