Now that we are in the midst of tax season, members of the Finance Collective are here to give you tips and tricks on how best to take care of yours taxes this year. This week's tidbit of advice comes from My Debt Epiphany and details two different ways you can use your tax refund to finance your home.
"Use It As a Down Payment on a Home
If you're planning on buying a house, you may have to come up with a big down payment depending on the market in your area. Your tax refund can help ease that financial burden or even jumpstart your house down payment fund and motivate you to deposit more each month.
When you buy a house, it's best to put at least 20% down in order to avoid private mortgage insurance (PMI) which can add up each year.
Home repairs can be expensive and add up quickly. But upgrades and repairs can make your home a more comfortable place to live and even increase its value.
If you've been meaning to renovate your home or repair something that has been on your to-do list for a while, your tax refund can help so you don't have to use your credit card or take out a loan." -My Debt Epiphany
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