Saving for a deposit requires a rigorous budget and a disciplined spending outlook. Even those mindful of expenses on non-essential items would have to save around R2 500 each month (excluding interest) if their goal was to save a 10% deposit over a five-year period for a home costing R1.5m. No easy task, but not impossible for the disciplined.
Set an achievable savings goal and regardless of the saving mechanism, allow a realistic time to build up your savings. “The biggest money mistake we all make is to think, for example, that the R30 we pay for a coffee per day ‘is not so much’… But, if you resist that spend every weekday, you can put away R660 on average per month (R7 920 per year, excluding interest),” says Kellerman. Think too of what you will save if you