From Debt to Downpayment: Mastering Your Money in 7 Simple Steps

Managing your finances effectively, paying down credit card debt, and saving for a downpayment can seem challenging, but it's achievable with some smart strategies:

1. Budgeting: Create a budget to track your income and expenses. Identify areas where you can cut back, such as dining out or subscriptions, to free up more money for debt repayment and savings.

2. Emergency Fund: Aim to save a small emergency fund first, even if it's just $500-$1,000. This will help you avoid using credit cards for unexpected expenses.

3. High-Interest Debt: Focus on paying off high-interest credit card debt first. Consider using the debt avalanche method, where you pay the minimum on all cards and put extra money towards the card with the highest interest rate.

4. Balance Transfers: If you have good credit, consider transferring high-interest balances to a credit card with a 0% introductory APR. This can help you pay down the principal faster.

5. Automatic Savings: Set up automatic transfers to a savings account for your downpayment. Treat it like a recurring expense in your budget.

6. Increase Income: Look for ways to increase your income, such as taking on a part-time job or selling items you no longer need.

7. Stay Disciplined: Stick to your budget, avoid new debt, and keep your financial goals in mind. It's a gradual process, but with discipline and patience, you can manage your finances, pay off debt, and save for a downpayment.

Contact The Mortgage Missus Inc. today to learn more!

tonia@themortgagemissus.ca 

Tonia Mercer | The Mortgage Missus Inc.

About the author,

Tonia Mercer is an independent mortgage broker. She has been in the industry for 15 years, in 2021 she launched her own brokerage The Mortgage Missus Inc. 

Tonia is passionate about financial education and believes that working with independent experts is the best way to get unbiased, professional advice. She has joined forces with local independent home and auto, financial advisor, legal, appraiser and real estate service providers.Effectively creating a concierge service for all things financial and real estate.

Tonia donates a portion of all mortgage revenue to Mercer's Mission, a street dog and cat feeding mission in the Dominican Republic. https://www.facebook.com/mercersmission