Good financial planning and proper savings management can help young couples achieve their dream home. However, this is certainly not easy to accomplish. There are many challenges to face, especially now that the cost of living is increasing.
Not only that, another challenge to face is the rising prices of homes and properties. In situations like this, young couples need to devise clever strategies to save consistently so that the results meet their expectations. Let's see what strategies can be implemented to achieve the dream home!
Saving Strategies for Young Couples for Their Dream Home
It might sound easy, but in reality, saving is not as simple as imagined. Especially if you are a young couple with many needs to fulfill. But don't give up, try implementing some clever strategies below.
-
Set Your Savings Target
The first step is to determine your savings target. You and your partner probably already know what kind of home you want to live in. It's best to start looking for references as early as possible, what kind of house you desire.
Currently, property prices vary widely depending on the type, location, size, and many other factors. So, you and your partner need to conduct detailed research or search. Find out what type of house you want, where it is located, and how much budget you are ready to spend.
With a savings target, you and your partner can determine how much money needs to be saved. If it's difficult to specify, you can make estimates. For example, if you can't determine exactly what type of property you want to buy, you can at least decide based on its location.
Understanding this savings target is crucial so that you can be more consistent. You and your partner can be more consistent in accumulating money if you know the target amount that needs to be achieved. Additionally, you'll also know how much money needs to be allocated per month.
-
Create Income Allocation Categories for You and Your Partner
Creating income allocation categories is a great way to manage finances and can enhance effectiveness in saving. You and your partner should be open about how much income you both earn. After that, you can start organizing allocation categories for your income, such as categories for daily living expenses, savings, entertainment, protection, and donations.
However, this division can be highly flexible according to each individual's needs. Especially if you and your partner have other installments, make sure there is an allocation for paying installments as well. The portion can vary according to each person's needs and abilities.
One of the items mentioned earlier is saving. This saving can be further divided into emergency funds and other savings to achieve specific financial goals. For example, to buy a dream home together with your partner.
-
Start Having Passive Income
The faster your savings accumulate, the sooner you and your partner can buy a house. To achieve this, you need to increase your income. This is one of the most effective ways to increase the amount of money you can save.
It's worth giving passive income a shot. While you and your partner may both have active jobs, having a passive income source could significantly improve your financial situation. This additional income could serve as a bonus for you both.
Passive income refers to money earned without actively working for it. This means you don't have to quit your main job. Instead, you can manage both sources of income simultaneously, resulting in a higher total income.
If you and your partner are really serious about owning your dream home, then you can allocate this passive income for that purpose. So, all the money coming in from passive income will be directly used to save up for buying the house.
What are the types of passive income you can get? You and your partner can rely on your talents or hobbies. For example, monetizing a blog, creating content, participating in affiliate programs, and many more.
Use Multiple Savings Accounts
Currently, there are various types of savings accounts available. It's not impossible for you to find offers for multiple accounts at the same bank. It's better for you to take advantage of this service to increase the effectiveness of your savings.
If you and your partner have several savings accounts, you can allocate the funds according to the financial goals you want to achieve. Young couples usually have many financial objectives, not just buying their dream home. So, it's much better to save in multiple accounts.
If both of you have incomes, then you can each fill one account. However, if only one person is actively employed, you can discuss the portion of money for each account.
-
Start Investing
Another important strategy to consider is investing. For young couples, investing can be very effective in helping them achieve their financial goals. This includes, for example, buying their dream home, which may not be considered cheap.
In this case, you and your partner need to have a thorough discussion. Moreover, preparation cannot be rushed. Investing is not something that brings profits quickly. So, it's better for you and your partner to start as early as possible so that investments can yield profits at the right time.
Choose investment instruments with good prospects for the future. Consider the time frame and potential profits from these investment instruments. Additionally, you and your partner should also pay attention to the risks involved. Make sure to select investment instruments that align with each of your risk profiles.
You and your partner can devise a saving strategy to purchase your dream home by utilizing various features of digibank by DBS. One of them is the Goal-culator to plan your investment strategy for the future. Furthermore, you can also invest through digibank by DBS to achieve that goal.
If you choose to save through digibank by DBS, you can utilize the Maxi Savings product, which enables you to save across 20 separate compartments. Opening an account is simple and fully digital, requiring only your e-KTP and a selfie. Furthermore, it provides a competitive annual interest rate, and the funds are flexible, allowing you to withdraw them whenever necessary.
After successfully purchasing your dream home, you can use digibank Personal Loans to furnish your home with various types of furniture. You can also utilize this loan for home renovations to finish them more quickly.
What are you waiting for? Simply open a savings account with digibank by DBS and enjoy its various benefits. Click here for more information.
