Reaching Down-Payment Goals

by Dotson Skaggs 07/07/2019

Saving enough funds for the down payment on your home can be an obstacle for everyone. With general living costs and accumulated debt (Student Loans!), many young couples and professionals don't believe they'll ever save enough to move from being renters to buyers. There are steps you can take to put aside the funds you need for your down payment, but you’ll need to consider your priorities and a serious commitment to your spending and saving strategy.

Take a look at the median house prices in the area you want to buy and set a realistic budget for the price of your new home based on your current income and means. If the average home price is around $275k, then with a standard loan you’ll need about $55,000 for your down payment.

First, open a separate savings account, or designate one of your accounts for the money you’ll put aside. If you can separate your funds from the checking and savings accounts you access on a regular basis, then you'll help yourself refrain from using your down payment savings for other purchases, maintenance, or emergencies that arise.

Second, analyze your spending habits and create a realistic budget based on your current income to help you make strategic spending cuts. There are many free apps, spreadsheet templates, and useful blogs to help you set up and manage your budget. Inquire with your local bank to learn if they offer financial advisory services or can set you up with a partner to help you review your budget—many credit unions provide these services free with membership. Check what your financial institution offers and take advantage of free wisdom!

  • Review your memberships and subscriptions. Can you consolidate your streaming services, cancel NFL channels after football season, or join a more affordable gym? 
  • Instead of going out to eat or to the movies for date-night, set a limited budget for entertainment and take a few extra minutes to discover the many free activities your city has to offer. While making these significant changes, it is essential to allow yourself to continue to have fun times and relieve some of the pressure you're adding to your life—finding more affordable activities and restaurants can help you spread the fun money a little further and still put significant funds aside for your down payment.
  • Curb your unnecessary purchases. For some, this is one of the most difficult changes to make. From little convenience store purchases to emotional retail shopping, you’ll have to monitor your habits to catch yourself before you make purchases you don’t need. If you need the energy drink every morning, take the time to stock up when they’re on sale. Find a coffee shop that offers deals or a punch card (at least!). And if you can’t cut all the retail shopping, try limiting yourself to resale stores or clearance outlets to curb spending. 

 There are many ways to save for your future home. Work with your real estate professional to determine what your loan and down payment requirements might be. Then, get started on your savings plan!

About the Author
Author

Dotson Skaggs

Living in Denver continuously since 1960, Dotson has witnessed The Mile High City mature to become one of the nation’s top metropolitan statistical areas.  As one of Denver’s elite real estate salesman with 2,000+ homes sold and $600,000,000+ in sold volume, Dotson is annually one of the top 15 agents out of 5,000+ members with the Denver Metro Association of Realtors.

     Based on the principles of service, professionalism, and our Realtor Code of Ethics, Dotson sponsors and donates his time to numerous community service projects such as dumpster day, shredding day, a community garage sale weekend and a neighborhood young entrepreneur’s career fair.  Dotson also distributes American flags to neighborhoods for the Fourth of July, helps sponsor a neighborhood picnic, prepares and distributes HOA directories to various communities and sponsors a neighborhood annual photo session with the Easter Bunny.  Dotson also serves his fellow Realtors by volunteering on the Denver Metro Association of Realtor’s Professional Standard’s (Ethics) Committee.

     To better serve his clientele with the principles outlined above, Dotson left his own independent real estate company after 22 successful years and joined the nationally acclaimed Kentwood Real Estate in 2005.  Dotson has been blessed with the opportunity to serve countless homeowners and buyers with their individually unique and diverse needs.

     In addition to real estate, Dotson’s passions are spending time with his growing family, working out, playing golf, reading and observing the political scene.  He dreams to one day possess a golf game which is commensurate to his real estate career.  However, Dotson is also known to be overly optimistic when it comes to his golf game.

Dotson’s Favorite Quote is:  “Never Give Up.  Never Give up.  Never.  Never.  Never.”            Sir Winston Churchill (1941)

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A BRIEF SUMMARY OF DOTSON'S CREDENTIALS AND REAL ESTATE EXPERIENCE:

Over 30 Years of Real Estate Experience in Negotiating the Sale, Purchase and Leasing of Property (20 Years Broker/Owner) 

Over $600 Million in Sales Volume 

2,500+ Homes Sold in the Denver Metro Area

2014, 2015, 2016 & 2017 Wall Street Journal - Top 100 producing agents in Denver Metro Area

2006, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016 & 2017 Kentwood Champion’s Club Recognizing Over $17 - $31+ Million of Annual Sales

2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016 & 2017 Denver Metro Association of Realtors Gold Roundtable of Excellence Award with $17 - $31" Million of Sales Volume 

Prestigious Certified Luxury Home Marketing Specialist Designation

Member of the Colorado Association of Realtors’ Ethics and Professional Standards Committee for the Past 25 Years 

Member of National Association of Realtors

Member of Colorado Association of Realtors

Member of Denver Metro Association of Realtors

Member of Denver Metro Area Multiple Listing Service

     In addition to possessing a true love for assisting homeowners and buyers with their real estate needs, Dotson is just as devoted to his family's needs. In his leisure time, Dotson enjoys activities such as snow skiing, golfing and camping in the beautiful Colorado mountains.  Dotson has also contributed to the Denver Metro area community by being an active supporter in many local groups and charities. He served in the Big Brother's organization for 10 years and has supported and contributed to the American Zang Foundation. This organization provides assistance for low-income and minority students in locating, applying for and obtaining college scholarships.

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OVER 30 YEARS OF TRUST AND EXPERIENCE

SERVING THE ENTIRE DENVER METRO AREA

  • MBA, BS, CRS, GRI, ABR, CDPE, LHMI, MCNE
  • Top 10 Brokers - Denver Board of Realtors
  • Top 15 Individual Sales - Denver Board of Realtors
  • Top 10 Transactions - Denver Board of Realtor
  • More than $500 Million Career Sales and 2,500 Transactions

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EDUCATION

  • Masters of Business Administration - Marketing
  • Bachelor of Science-Business/Land Management