STOP These 5 Habits to Help Purchase Your First Investment

Real Estate Agent with Heisler and Mattson 9556777

What is preventing you from purchasing your next investment? Small seemingly insignificant purchases add up over time which prevent us from our next investment. Hopefully, you already know what income you have coming in as well as your expenses. Here are five habits to break to assist you in saving for your next investment.

1. Housing

This is most likely the majority of you monthly income, your largest expense. The goal should be spending no more then 30% of your income on housing. Consider where you currently live- can you possibly get a roommate or move to a less expensive area? If you are able to, I would highly recommend looking into a FHA loan to "house hack". Do this until you are unable to in your situation.

2. Car

Most likely your second biggest expense. Ideally, you want an affordable car, and work close to your primary residence. Ideas to reduce costs include public transportation, biking, and carpooling. Some additional expenses on a vehicle include maintenance on a car could add up with car payments, insurance, gas, maintenance, parking etc.

3. Food

Planning your meals and not eating out consistently will save you money long term. In order to do this, consider having a strict weekly shopping budget. This can be a very difficult habit to break since we save time by ordering food and non taking time to prepare. If you "brown bag" on a daily basis, this can save you hundreds a month.

4. Credit Card Debt

Minimum payments may seem low, but over time add up! Consider using a rewards credit card for all purchases and receive cash back at the end of the month. You may be less likely to spend money if you use cash, but know what you can afford before you impulse buy. If you are in debt, make a debt reduction plan. Planning will lead you to paying off debt faster.  

5. Focus on Just Saving- Not Earning

Increase your income. You are limited by how much you can save, but have unlimited potential to earn. A 3$ trip to Starbucks will add up monthly. It costs about $90 dollars a month and will boost your savings somewhat but unlikely to make a major difference in your bottom line.

Thanks for reading! If you found this article helpful please comment or share


Posted by

Steve Bracero is a Real Estate Agent in Worcester County, Massachusetts and Real Estate Investor. Blog Topics include: Investing in Real Estate, Helpful Tips on House Hunting and Selling Homes. Areas of service include: Ashland, Blackstone, Douglas, Franklin, Grafton, Hopkinton, Hopedale, Medway, Milford, Millbury, Northboro, Northbridge, Shrewsbury, Southboro, Sutton, Westboro, Whitinsville, Worcester, Upton and Uxbridge.


Steve Bracero
Real Estate Agent, Heisler & Mattson
774-232-2526 | | | 182 Turnpike Rd #209, Westborough, MA 01581



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Harry F. D'Elia
RentVest - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

I believe paying down debt is a wise decision and start saving money

Jul 06, 2017 05:09 AM #1
Stacie Streets
Fairway Independent Mortgage Company - Colorado Springs, CO
Mortgage Ninja!!

Steve Bracero I find that it's the car payment that kills most people's dreams of homeownership.  When you are living with your parents a $400 car payment is not that big of a deal but when you are trying to buy a home and your qualification is dependent on a DTI of 43% - 50% including your new mortgage payment, many millenials are having to sell their high priced car to make it work! With a $400 car payment and a mortgage payment of $1,500 you would have to make a minimum of $52,800 per year...this assumes NO other debt which is rarely the case.

Jul 06, 2017 10:05 AM #2
Patricia Feager, MBA, CRS, GRI,MRP
Selling Homes Changing Lives

Excellent pearls of wisdom! It all makes practical sense too!

Have a wonderful weekend!

Jul 07, 2017 12:41 PM #3
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Hi Steve- these seem so simple and yet there are many who don't follow these tips. They live with "If only....." Well done. 

Jul 08, 2017 12:21 PM #4
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

                          Thank you Steve Bracero Hope you'll stop by tomorrow. 

Jul 08, 2017 05:54 PM #5
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
Marketing Agent for The Todaro Team

Good morning, Steve Bracero congratulations on your feature with Kathy Streib .... you're soaring with the eagles now...but I knew you would!!!

Jul 09, 2017 04:14 AM #6
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West & Geneva Financial, Llc. - Carlsbad, CA
Presence, Persistence & Perseverance

Great post, Steve Bracero and as people age, these elements of financial survival become more important. Younger folks adopting these habits earlier will be much better off later in life.

Jul 09, 2017 05:33 AM #7
Kristin Johnston - REALTOR®
RE/MAX Realty Center - Waukesha, WI
Giving Back With Each Home Sold!

I am glad I did not miss your post thanks to Kathy's mention!

Jul 09, 2017 07:32 AM #8
Jeff Dowler, CRS
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude

Hi Steve

Glad to see Kathy featured this - there is some smart advice in it. I suspect many people are pretty surprised if they ever do a household budget to determine where their money is actually going. It's pretty important to understand beforehand when buying a house.


Jul 09, 2017 12:08 PM #9
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Steve Bracero

First Time Homebuyer and Investor Specialist
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