As we enter a new year, there’s never been a better time for homeowners to assess their finances and look for ways to save money. If you need some inspiration, here are 5 financial goals to consider making this year.
Stick to a budget
Budgeting is perhaps the most important thing you can do to improve your finances. It will enable you to plan ahead and ensure your money is going exactly where you want it to. Without a budget, it becomes harder to manage your finances and prevent overspending.
With the help of spreadsheets, budgeting apps and multiple bank accounts, there are numerous ways to manage your budget and it’s all about finding the right option for you.
Reduce your mortgage debt
If you’re a homeowner, your mortgage payments are likely to make up a significant portion of your living costs. By taking action to reduce the amount of debt you have on your property, you could save thousands of pounds over the course of your mortgage.
Remortgaging your home can be a great way of transforming your finances, whether you wish to free up equity from your property, reduce your monthly outgoings or pay off your debt sooner.
Alternatively, overpaying on your mortgage can be a great way of reducing the amount of interest you owe. Every overpayment will pay off the actual home debt rather than interest, meaning you’ll become debt free sooner and save money in the process.
Get out of consumer debt
Becoming debt free is a great achievement and can feel like a weight off your shoulders.
Not only will you no longer have to factor the debt itself into your budget, you also won’t have to keep paying interest.
If you’d like to pay off all consumer or credit card debt this year, setting up a debt payment plan can be a great place to start. From there, you’ll be able to look for ways to reduce your spending and make more money to pay off the debt.
Invest
Once you’ve built a strong emergency fund and you have money set aside for future plans, it’s worth looking into your investment options. While some people choose to invest on their own, others seek professional financial advice before making any bold investment moves. A certified financial planner will assess your finances before helping you choose the most promising investment option for you.
Protect your home
Your property is more than just an asset, it’s your home too. That’s why it’s important to protect it from unexpected events such as job loss, critical illness or death. Although these events may be unpleasant to think about, preparing for the worst can help protect you, your family and your assets.
Here at TaylorMade we can help you protect your home with life cover, accidental damage insurance, income protection and critical illness protection. Our team of consultants have a wealth of experience and will help you find the right cover from the whole market.
To learn more about our mortgage broker and home protection services, please get in touch with the team at TaylorMade.