Find out how much you need
It helps to have an exact goal to work towards. Saving for a house can take a few years, so setting up small targets along the way can keep you motivated. The general rule is to set aside 20% of your paycheck.
In PNG, the standard house deposit is 10% of the property value. Sometimes you can negotiate with the buyer to increase or decrease this percentage to suit your situation.
Know where your paycheck goes
Review your last bank statement to work out where your money goes. This way you’ll know what areas to cut back on and can set aside a weekly amount for fun activities. If your main game is eating out at pricey establishments, it might be time for a review!
Make small changes
Small cuts can make a big difference to your budget. You could start by cutting down your weekly coffees, bought lunches, taxis, or unused subscriptions. It also helps to review your phone bill, especially if you have data left over each month.
Make big changes
Seasons can influence the housing market. It helps to avoid election time when the market is uncertain. Buying in off-seasons such as Christmas, when there is less competition and high spirits, could lead to a better deal.
Farewell your debt
It’s a good idea to get rid of high-interest debt before saving. Ways to do this include paying off your car or credit card.
Open a savings account
Some banks accounts are designed to help you save faster. Kina Bank’s Tomorrow Savings Account gives you more than double the savings of any other bank in PNG with up to 4% interest.
Access your super
You can use your super to pay for a home loan in PNG through House Advance Funding. To access the funding, you will need to have been with your super fund for at least five years.
Use the Employee Housing Assistance scheme
You can become a homeowner in PNG with Employee Housing Assistance. The scheme allows public and private employers to pay for a small percentage of their employee’s house deposit.
Watch your savings climb
Enjoy watching the money pile higher! All your hard work will be worth it when you’re in your very own, new home.
Need to save our tips for later?
Enter your email and click submit to receive a PDF of this page, along with other useful information from Kina Bank.