A down payment is usually required to purchase a home or other big-ticket item. The more money you put down, the less you have to finance and the lower your monthly payment will be. Planning ahead is key when it comes to saving for a down payment. Take a look at what you can change about your current spending habits and what you can do to bring in more money.

Special Account

Set up a special savings account and have your employer deposit part of your paycheck into it each pay period. At first, it may seem like you can't live without that money, but you will adjust to it in a month or two. Then you won't even miss that extra money and will be pleasantly surprised at how fast it accumulates when you aren't thinking about it.

Eliminate the Unnecessary

Cut out unnecessary purchases. While it's nice to get a cup of coffee at Starbuck's, you can just as easily make coffee at home and take it with you. Take your lunch to work rather than going out to lunch every day. Depending on how frequently you go for lunch, this can save you hundreds of dollar each month. If you have items around the house that you no longer use or need, consider selling them. You can list them on eBay or Craigslist.

Second Job

Get a second job to make more money. While no one wants to spend their lives working all the time, getting a part-time job is a great way to earn money for a down payment. And remember, you don't have to keep the second job forever. Once you've made enough for your down payment, you can quit the extra job if you want.

Roommate

If you are currently renting, consider getting a roommate to help pay the rent. The money you save can be put toward a down payment. Or, if possible, move in with your parents. Many parents won't charge you rent, and if they do, it's usually much more affordable, saving you money each month.

Current Debt

If you have credit card debt, look for lower interest rate cards to which you can transfer your balance. Many offer 0% interest for the first few months. The money you save from the lower interest rate can be saved for a down payment.

Ask for Help

If you are one of the fortunate ones, your parents or grandparents may have already anticipated that they would give you the money for a down payment or at least loan you the money for one. Considering asking them to know what their intentions are regarding you buying a house.

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