Well, truth be told, we all dream of buying our own house. But sadly, most people fail to make this come true. This is because the average house price in Nigeria is ₦130,000,000. This number is pretty huge, considering the average annual salary in the country is ₦ 4,060,000. This makes the journey hard for most people. You need to make different life choices if you do not want to be a part of this group.
This means you will have to do things differently if you live your dream of buying your own house. Only then will you be able to shop for the best place to buy land in Nigeria. So, basically, you will have to plan out your finances in a way that will make the process easy for you. Do you want to know what are those financial steps? Then you have definitely reached the right place!
Top things that you should do
Some of the financial changes that you should make in your life are:
1. Start Early
Truth be told, it is always better to start saving in advance when it comes to buying a house. Always remember that saving money also takes a lot of time. So, you will definitely be able to save more money the sooner you begin saving. This is why you should open a dedicated savings account specifically for your house fund. Make sure you start contributing to it regularly.
2. Record of Your Expenses
It is important for you to know where you are spending your money. So, always make it a point to record every time you hit pay. This will help you find areas where you should spend less and save more for your property. Moreover, just use apps and simple spreadsheets to track your spending, sorting them into categories like food, clothes, and entertainment. This will help you to check your spending regularly to find ways to save more money.
3. Avoid Buying on a Whim
You should always avoid making quick decisions when buying things. Take your time to think before purchasing something you do not need. Each Naira you save will bring you one step closer to your dream. So, ask yourself if you really need something before buying it.
4. Spread Out Your Investments
Consider putting your money into different places like stocks, bonds, and mutual funds. This way you will be able to earn more money when you spread your investments around. Plus, there are fewer chances of losing it all. So, make sure you chat with a money pro to work out the best way to invest. They will help you to find a way that suits your comfort level, goals, and timeline for buying a house.
5. Make a Money Plan
Make a plan for your money and stick to it. Under this plan, you will have to decide how much will go toward your property fund every month. But do not get swayed away and set a high amount. You just have to be real about your income and expenditure. Moreover, do not forget to add things like rent, bills, food, and debts. Then, put some of what is left into a savings fund.
6. Pay Off What You Owe
Most of us are guilty of buying things on credit. So, you are not an exception. But you will have to pay back every Naira when you start your dream real estate journey. Are you wondering why are saying this? Well, debts with high interest eat up your savings. And this, in the end, slows down your real estate dream. You ought to pay off debts with the highest interest rates like credit card debt and loans in the first step. You can move on to paying off other debts like student loans and car loans after that.
7. Make Your Credit Score Better
Having a good credit score makes it easier to get a good property loan. So, pay your bills on time and keep your credit usage low. Your credit score will improve owing to this. Moreover, you should also look at your credit report to check for any mistakes. This will help you to fix all the mistakes and make it easy for you to find the best place to buy land in Nigeria. Pro tip: Try not to open new credit cards and take on more debt while you are saving. This will make the score worse.
8. Learn About Houses
One of the things that will help you in the process is understanding the real estate market. So keep a close eye on this to know the average house price in Nigeria. This will really help you to make a good decision about when & where to buy. Moreover, you should also find out about different neighborhoods to find the one that suits you and your budget. Pro tip: Team up with someone who knows a lot about real estate. They will help you to find the perfect one.
Final Findings
You will be easily able to buy your dream house in Nigeria with careful financial planning. And we hope that our blog has been able to make you aware of that. Trust us when we say this you will be able to save the average house price in Nigeria with these financial changes.
