Home ownership is often called “the American dream”. Fairly easy to understand why: Your home is your place and no one else.
But home ownership can really ruin your cash flow. Along with the mortgage payment, you’re looking at the costs of repairs and maintenance (including yard work), higher utilities than you might be used to, and likely the need to furnish additional rooms. All of this can leave a person pretty cash poor, especially if you’re wasting money without even knowing it.
Luckily, a few clever (and simple!) tactics could save you thousands of dollars.
Here are some of the big ways you could waste money on your slice of the American Dream.
1. Lose $1,400 a year in car insurance
Next to your house, your car is probably the most expensive item you will buy. According to Kelley Blue Book, the average cost of a new car in 2021 was just over $46,000 – and chances are you’ll need to buy five or six cars in your lifetime, if not more.
Auto insurance is mandatory in most states; even in the two that don’t need it, you’d be foolish not to protect such an expensive asset. Good coverage is essential — but you don’t need onpay for it. Switching your car insurance to Progressive could save you up to $700 per year; since most households have two cars, this can mean an additional savings of $1,400 each year.
Less money does not mean less value. Progressive is recognized for its great protection adapted to your needs and for its superior customer service. The company is also known for its hilarious TV commercials, but it’s the excellent coverage that keeps 18 million people coming back year after year.
Speaking of year after year: that $700 or $1,400 isn’t just a one-time thing. You will save as much each year. As a landlord, you certainly have other places where that money can be used. Or use it for long-term goals like your child’s retirement or education fund.
Protect your second biggest investment and save big bucks — get your free quote today.
2. Throwing $8,256 down the drain every year
Mortgage rates are low right now. But here’s the thing: they won’t. to stay moo. In fact, the Federal Reserve has strongly hinted at up to four interest rate hikes in 2022.
Before that happens, ask yourself this: What could I do with an extra $8,256 a year, every year, until my mortgage is paid off?
That’s the kind of money you could save when you refinance with a mortgage lender called Better. On average, borrowers save $8,256 each year when they refinance, according to the site. That’s more money for family vacations, college tuition, and retirement savings.
With rates this low, you’d be crazy not to at least check out how much you can save by refinancing.
Better can get your quote in five seconds. Getting pre-approved only takes a few minutes longer. But the “easy” part does not end there.
The application is 100% online. Better is a direct lender who is committed to a transparent mortgage process. The company does not charge any loan fees or pay commissions to its loan officers. As a result, loan officers focus on getting the loan amount right for you, rather than the loan that would bring them a lot of money and a big fee for the business.
A few minutes could save you $8,256 every year. If you’re ready to secure your new rate, start now.
3. Let home repairs drain your savings
Getting a place in them is a dream held by millions of people. But getting that house isn’t the end of the story. Now you need to take care of this essential asset. When the refrigerator breaks down or the heating/cooling system starts working, it is you – not an owner – to fix things.
The cost of these patches can be scary. According to Realtor.com, homeowners should budget up to 4% of the purchase price each year for home repairs and maintenance. The average sale price of a home in the United States was $453,300 in the third quarter of 2021. So on average, that means spending up to $18,000 a year to keep their investment in good shape.
Or they could budget as little as $390 per year for a home warranty through America’s 1st Choice Home Club. You would still be responsible for things like painting the trim and mowing the lawn, mind you. But a home warranty will cover big-ticket items like your home’s plumbing, appliances, heating/air conditioning, and electrical system.
If there is a problem, you file a complaint (by phone or online) and the AFC sends a service technician; you can also decide to choose your own. Once the claim is approved, the technician will repair or replace the item. No waiting until the next business day either: AFC provides 24/7 service.
A home warranty could save you thousands of dollars. Get a free quote in 30 seconds.
4. Submit to credit card scams
Contrary to popular belief, a high credit card balance isn’t always the result of reckless spending. Many people find themselves hairline in debt due to illness/injury, unemployment or divorce.
Your credit card company probably doesn’t care that the pandemic destroyed your small business, that you got hit by a car, or that your spouse caught you off guard with divorce papers (and emptied the bank account on the way out). ). The credit card issuer will continue to charge the same high interest rates whether your debt is the result of a tumultuous life or serious bad luck.
The point is, you owe money – but why pay an extremely high rate of interest until it’s paid off? Instead, apply for a personal loan through AmOne and cancel the obligation once and for all. For over 20 years, AmOne has connected consumers with leading online lenders for personal loans of $1,000 or more.
It takes less than two minutes to complete the form and receive offers from the company’s lending partners. Once completed, a loan can be in your account in three days (or even sooner). After that, all those extra interest dollars you paid can be applied to the principal of the loan.
What if your consumer debt do come from poor (or simply misinformed) choices? Get a personal loan to pay it off.
Don’t let ruinous rates from a credit card company rip you off. Take two minutes out of your day — today — and check your rate online.
Bonus: Be smarter with your money in just five minutes
You get it. It’s time to put money aside, to save more, to put your finances in order.
But you also understand that it is not always easy. If there was one easy thing to do, every day, to move the needle, to get ahead of the game, you would do it, right?
Well, here it is: Take five minutes every day and check out the totally free Money Talks newsletter. Over a million Americans have done so, and they said they saved an average of $991.20 each by viewing our news and tips.
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