When it comes to saving for a home, experts tend to disagree with the “perfect” amount. This can make the whole process all the more confusing for prospective home buyers. The old saying “easier said than done” certainly rings true in this case. According to wiseadvisor.com, “Most real-estate experts will tell you to have at least 5% of the cost of a house on hand in savings to account for the down payment. But that's only a minimum.” Some encourage having as much as 20% saved up. But how much does the average first-time homeowner actually have in savings when they move in? Kiah Jones, who was told she shouldn’t buy a house because she didn’t have enough saved, asked the question in a First Time Home Buyers Facebook group: “How much of a savings did you have when you moved in, aside from down payments and closing costs?”

“What you have will be more than enough.”

Many group members chimed in to say that they had saved well over the recommended amount. “[The] bank said I needed to double this for [a] 220k house,” Karisha Kennedy said of her $6.5k savings. “Someone will say yes!” “Get your house!! Don’t let anyone talk you out of it!” Shameeka Melvin encouraged, noting that she had saved $10k. A few commenters had $1k or below left over. “If it’s meant for you, what you have will be more than enough,” Natisha Butler wrote. “I will be completely broke once I’m done. But I’d rather be broke with my house than rich without it! I make enough money to save up with the mortgage to replenish my funds.”

Striving for security

Others seemed to prefer to stay on the safe side. “I believe it is wise to have money in your savings after closing,” ReaChanel Howard wrote. “Been there, done that, wish I would have listened,” she said, referring to financial advice. Lauren York seemed to be of a similar mindset: “I think it’s so important to have something saved because after you close you can bump into anything that may require fixing. I say have between $10k-20k or more before buying. That’s my personal opinion. But you will have to make decisions how you see fit.” It seems that this is the best advice someone could provide; financial decisions are personal ones, and every situation is different. But one thing has been made clear: no matter how much or how little you save, you won’t be the only one. That’s why it is always best to have a solid plan in place should anything fall through.