| Recently, I was on the phone with a friend of | | | | account, an online brokerage account, start a |
| mine from California who just purchased his | | | | 529 college savings fund, there are a variety |
| first home. He's a single father and he's in | | | | of ways that you can show your kids how to |
| his early 30s. He was upset that his parents | | | | save and how to help them understand the |
| had never stressed the importance of owning a | | | | value of a dollar. |
| home or even talked to him about how to save. | | | | |
| "Man, I'm just thinking about all of the | | | | Now back to the house buying part. You're |
| money I wasted when I was younger," he | | | | probably thinking, that's cute, but how am I |
| complained. It's true, before we had kids, | | | | supposed to save enough money for a down |
| what were we spending our money on? Remember | | | | payment on a house when I struggling to meet |
| when we could shop at the store and it was | | | | my rent every month? Well, if you're serious |
| all about us? Didn't have to worry about | | | | about owning a home, you need to know what |
| somebody putting Dora cookies or fruit | | | | obstacles you're facing. |
| roll-ups in the shopping cart? | | | | |
| | | | Get your credit report. See if you have |
| It's an understatement to say that having | | | | anything negative on it and then fix it. It |
| kids changes everything, especially our | | | | may take a few months or a year, but start |
| financial situation. I know as a single | | | | working on it now. Open up an account for |
| parent it's hard to see the forest for the | | | | your down payment and have a certain amount |
| trees while trying to juggle work, bills and | | | | of money from your paycheck deposited into |
| kids. It can be difficult enough to imagine | | | | that account every pay period. Figure out |
| how to pay for the plumber and soccer classes | | | | ways you can trim down your budget to save, |
| much less saving enough for a down payment on | | | | i.e. bringing a lunch to work rather than |
| a house. But it is possible. | | | | eating out, kicking that smoking habit, etc. |
| | | | Also, look into doing a FHA loan as opposed |
| When Shirronda and I first decided to | | | | to a conventional loan. The down payments are |
| purchase a home together, one of the things | | | | smaller. Start looking for a realtor, if you |
| we did aside from making a wishlist for the | | | | can't qualify for a mortgage, they will tell |
| type of house that we wanted was to decide | | | | you why and what you need to do in order to |
| what to do with the house. We knew eventually | | | | get a home. |
| we would move into our own single-family | | | | |
| homes but we were in agreement that we would | | | | Owning a home is one of the better |
| always keep the two-family for the girls. | | | | investments you can make. Unless you bought |
| They can share one of the apartments and rent | | | | your property at an inflated price, the value |
| out the other or they can live in their own | | | | in your home can only go up. You get tax |
| unit. Whatever they decide to do, at least | | | | write-offs and you can always pull the equity |
| they will have options. | | | | out of your house if you need money. At the |
| | | | end of the day, we are the best teachers for |
| That's really the best gift we can give our | | | | our kids. Let them form their opinions about |
| kids. Options. Teaching kids about financial | | | | money by watching you save and spending it |
| responsibility will ensure that they have | | | | the right way. |
| many options. You can open up a savings | | | | |