Even if the Federal Reserve does cut interest rates, buying a home might not become more affordable.

Maybe you have always dreamed about owning your own place. Maybe you’re just in “that” phase of your life. Or maybe, it simply makes the most financial sense for you to own rather than to rent.

Either way, buying a home is one of the biggest financial decisions you can make in life, and there are plenty of pitfalls to avoid along the way.

When you start looking, think about what you can — and want to — afford. That’s not just a question of how big a mortgage you might be able to get, as your monthly costs will be more than just your loan payments. There might be HOA fees, maintenance costs, and taxes coming out of your account regularly. Know what the monthly costs of a place would be all in to decide whether it’s the right fit for you.

Also know what you’re looking for. If you need certain transport links and school access to make your life work, a cheaper home in an inaccessible location likely won’t be the answer. Don’t forget, to make financial sense for you, it has to be workable in your day-to-day.

Equally, the perfect home probably doesn’t exist. There will always be something, and that’s okay. Just make sure you know what your needs and non-negotiables are so you can make the best decision for your household.

Saving Hacks for a Downpayment

For many people, transferring their down payment at the start of a home purchase is the single biggest banking transaction they’ve ever completed. So how do you get to having such a big stash of cash?

Convention suggests you should aim to pay down 20% of the total purchase price, even though this could vary depending on your personal situation, what makes sense for your finances, or if you’re a Veteran. Use our home affordability calculator to figure out your goal down payment by calculating how much home you can afford.

Next you can draw up a budget, comprising your existing savings, income streams, and other financial obligations, including debt payments and rent.

Saving your way to a down payment might also take a little time, so let your money work for you along the way. Stashing your cash in a high-yield savings account can help you get there faster.

Check out SoFi’s high-yield savings accounts, and get going on your savings goals.

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
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Terms and conditions apply. Before you apply for a SoFi Mortgage, please note that not all products are offered in all states, and all loans are subject to eligibility restrictions and limitations, including requirements related to loan applicant’s credit, income, property, and loan amount. Minimum loan amount is $75,000. Lowest rates are reserved for the most creditworthy borrowers. Products, rates, benefits, terms, and conditions are subject to change without notice. Learn more at SoFi.com/eligibility-criteria. Information current as of 12/28/23.

SoFi Mortgages originated through SoFi Bank, N.A., NMLS #696891 (Member FDIC), (www.nmlsconsumeraccess.org). Equal Housing Lender. SoFi Bank, N.A. is currently NOT able to accept applications for refinance loans in NY.

SAN FRANCISCO, Calif – January 8, 2024 – Today, SoFi (NASDAQ: SOFI), the digital personal finance company, received three 2024 Best-Of Awards from NerdWallet, Inc., a platform that provides financial guidance to consumers and small and mid-sized businesses (SMBs). SoFi was recognized by NerdWallet and selected as the Best Checking Account Overall and Best Checking Account for Overdraft Fee Avoidance for SoFi Checking & Savings, as well as Best Personal Loan Overall for SoFi Loans. 

A team of trusted Nerds—composed of seasoned journalists and subject-matter experts—used a comprehensive scoring formula to objectively evaluate over 1,000 financial products. Top picks across Credit Cards, Personal Loans, Banking, Investing, Mortgages, Insurance, and Travel Rewards are featured in this year’s awards¹. 

“Through our rigorous and objective evaluation process, we have selected SoFi as one of the best in banking and lending products,” said Kevin Yuann, Chief Business Officer at NerdWallet. “Consumers can trust that they’re getting one of the top products on the market to help meet their financial needs.” 

For a full list of NerdWallet’s 2024 Best-Of Awards winners, click here. 

About SoFi

SoFi (NASDAQ: SOFI) is a member-centric, one-stop shop for digital financial services on a mission to help people achieve financial independence to realize their ambitions. The company’s full suite of financial products and services helps its more than 7 million SoFi members borrow, save, spend, invest, and protect their money better by giving them fast access to the tools they need to get their money right, all in one app. SoFi also equips members with the resources they need to get ahead – like career advisors, Certified Financial Planner™ (CFP®)² professionals, exclusive experiences and events, and a thriving community – on their path to financial independence.

SoFi innovates across three business segments: Lending, Financial Services – which includes SoFi Checking and Savings, SoFi Invest, SoFi Credit Card, SoFi Protect, and SoFi Insights³ – and Technology Platform, which offers the only end-to-end vertically integrated financial technology stack. SoFi Bank, N.A., an affiliate of SoFi, is a nationally chartered bank, regulated by the OCC and FDIC and SoFi is a bank holding company regulated by the Federal Reserve. The company is also the naming rights partner of SoFi Stadium, home of the Los Angeles Chargers and the Los Angeles Rams. For more information, visit SoFi.com or download our iOS and Android apps.

About NerdWallet 

NerdWallet (Nasdaq: NRDS) is on a mission to provide clarity for all of life’s financial decisions. As a personal finance website and app, NerdWallet provides consumers with trustworthy and knowledgeable financial information so they can make smart money moves. From finding the best credit card to buying a house, NerdWallet is there to help consumers make financial decisions with confidence. Consumers have free access to our expert content and comparison shopping marketplaces, plus a data-driven app, which helps them stay on top of their finances

and save time and money, giving them the freedom to do more. NerdWallet is available for consumers in the U.S., UK and Canada. 

“NerdWallet” is a trademark of NerdWallet, Inc. All rights reserved. Other names and trademarks used herein may be trademarks of their respective owners. 

Media Contacts: 

SoFi: [email protected] 

NerdWallet: [email protected]

DISCLOSURES

1. ​​Awards or rankings are not indicative of future success or results. Neither SoFi Bank, N.A. nor its employees paid a fee in exchange for ratings. Awards and ratings are independently determined and awarded by their respective publications.
2. Certified Financial Planner Board of Standards Inc. (CFP Board) owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER™, CFP® (with plaque design), and CFP® (with flame design) in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements.

SoFi Checking and Savings accounts are offered by SoFi Bank, N.A., Member FDIC.

The SoFi Credit Card is issued by SoFi Bank, N.A. pursuant to license by Mastercard® International Incorporated.

Loans originated by SoFi Bank, N.A., NMLS #696891 (www.nmlsconsumeraccess.org). Equal Housing Lender.

Brokerage products offered through SoFi Securities LLC, member FINRA/SIPC.

Advisory services are offered through SoFi Wealth LLC, an SEC-registered investment adviser. Information as of [MONTH YEAR] and is subject to change.