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Saving for a house deposit doesn’t have to be a tiring and lengthy ordeal. However, it is not something that is easily achieved and does take a large amount of discipline and a well executed strategy (more on buying multiple properties).

In this post I will share with you 20 expert tips on how to save for a house deposit fast. With property prices running away from us it is getting harder and harder to save a house deposit and purchase your first property.

Yup—you can set up your bank account to automatically transfer funds from your checking account into a savings account every month. If that sounds scary to you, you can also set up your direct deposit to automatically transfer 10% of each paycheck into your savings account.
A 'savings deposit' is a deposit or account, such as an account commonly known as a passbook savings account, a statement savings account, or as a money market deposit account (MMDA), that otherwise meets the requirements of §204.2 (d) (1) and from which, under the terms of the deposit contract or by practice of the depository institution, the depositor may be permitted or authorized to make transfers.

People deposit funds in savings accounts for a variety of reasons, including as a safe place where to hold their cash. Savings accounts normally pay interest. A number of countries require savings accounts to be protected by deposit insurance and some countries provide a government guarantee for at least a portion of the savings account balance.

It seems the longer you take to save your deposit the higher the price your house or investment property is going to be when you do get around to buying it.

NOTE: Don’t forget to grab your free copy of our easy to follow Save Your Deposit Checklistat the end of this post.

Most articles out there offer your traditional “canned beans” tips. That is they simply say that “you should try to cut your spending as much as possible, often so much that you shouldn’t be spending money on food and should only eat “canned beans” for a year.”

While cutting costs where possible and saving what is left over is necessary to saving a house deposit, I feel that some websites take this to the extreme and offer this as the only option for saving your deposit.

In fact I believe most advice on saving a deposit is flat out wrong! My 20 tips might not suit everyone, but they offer you an alternative to “eating beans” for 12 months.

I have broken my tips into two sections, the first section is tips on how to get a deposit for a house quickly, and the second section is how you can lower or edit the deposit that you require.

THE LEGAL STUFF I HAVE TO SAY: Some of these tips have legal and tax implications that are not covered in this article. This article should not be considered financial advice and if you wish to outwork any of these tips seek professional legal advice.

How To Save More Money For A House Deposit

1. Be Smart With Your Money

Even though I don’t subscribe to the “just eat beans” mentality of my fellow real estate blogs and magazines I do advocate being wise with your money.

Don’t force yourself to live just above the poverty line, but don’t be silly with your spending either. Cut down on the things you don’t need to buy, and where you don’t care about brands buy the cheaper version.

Me and my wife must buy our favorite brand of cereal, otherwise whatever we buy will go to waste, and the only sauce we buy is the Heinz, which is more expensive. But we are happy to buy the cheap milk, cheese and a few other items.

Eating crappy cereal would make us miserable and wouldn’t make us happy to save towards our investments. Emotions play a huge role in saving money, if you are miserable you will splurge, if you are happy then you will continue saving. TIP: Compare prices of products, and whatever you save by buying the cheaper version put onto your home loan. Think of it as paying the full amount, but a portion goes into your pocket.

For example, if the branded cheese is $10.00 and you buy the cheaper version for $7.00 then you would save the remaining $3.00 towards your deposit.

Save enough of these little amounts and it all adds up. So be smart with your money by saving on the things that don’t concern you, and putting the extra saving aside for your home loan.

2. Take It Straight Out Of Your Pay

This is a lesson I learned at church. In the bible God says to honor the Lord with the first fruits of all your crops.

In normal people language this means to offer up the first part of your income before you even start spending. No, I am not getting spiritual on you and saying you should give to church (though you should be generous), but I am saying that you should apply this principle to saving for your home deposit.

Don’t try to live for the entire month (or pay period) and then save what is left, save your money as soon as you get paid and then live off the rest, stretching it as far as you can.

If you try to live first and save second you will find you run out of money before you get a chance to save, but if you save first then you will find that you can stretch to live (and enjoy life) off the remainder.

3. Downgrade Your Car

Most couples own two cars, or at least one pretty nice car. Little do they know their car could be the deposit for their property.

A car is a depreciating asset and not only does it depreciate over time it costs you a bucket load of money to run. Insurance, registration, maintenance and petrol all cost money.

If you can live with one car instead of two then you could sell one of your cars and put the money you make into your home savings account. Then calculate the money you would have spent on the car and save that money too.

If you have an expensive car then it is likely you could be happy with a cheaper car (wouldn’t you rather your own house than a nice car?) Sell your car, buy a second hand cheaper car and save the remainder. You can always sell your cheap car and upgrade after you have bought your home.

4. Rent Out A Room, Or A Garage

Do you have a spare room in your house? Or do you really need your garage? Why not rent them out for some extra income. A room could rent anywhere from $50-$200/week. That’s $2,600-$10,400 extra per year that you could be putting towards your deposit.

If you live in a busy area then it is likely you could rent out your garage for $30-$70/week as well. That’s $1,560-$3,640 that you could be adding to your savings.

This extra income could really help you save for a house fast. LEGAL MEMO: Check your rental agreement (if renting). Some rental agreements don’t allow you to legally sublet your car spot or property.

With the invention of Airbnb the option to rent out your room to holiday travellers for good money is now a ral possibility.

5. Sell Your Stuff

How much of your stuff do you actually need? Do you really need that old laptop you have already replaced? Or that second TV you never use because it is too bulky or the screen is too small? One man’s junk is another mans treasure.

Wouldn’t it be better to live in your own home with less stuff than to be paying dead money (aka rent) to someone and have a whole bunch of stuff?

You can always upgrade again once you are in your one home. eBay.com.au is still a great place to sell your used items. To get the best results use terms in your heading/subtitle that people searching for your product will be typing in.

Once we got a floor lamp worth about $600 for $100 because the person selling it wrote “Standing Lamp”. Sunday night seems the best night to sell things, though I have found weekdays around 1:30pm good for selling tech stuff.

6. Shop At Aldi, Cosco or Other Discount Stores

You don’t have to live off less to be able to save money, you just have to buy more with less.

Shops like Aldi, Cosco or other discount stores offer you your common items but for half the price (on some products). I love the drink V, if I buy that from a convenient store once a day I p

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