The average tax refund for 2022 was nearly $3,000. If you’re expected to get a refund this tax season, consider using it to invest in your future! What better way to do so than using your tax refund as a down payment on a new home!
Check out these 5 ways that your tax refund can help you get there:
- Put It Toward a Deposit
You can have your refund deposited into a saving account to build up a deposit fund. Keep adding to the fund and before you know it you could have the keys to a new home in your hands.
- Apply It to Closing Cost
You can put your tax refund toward closing costs that can incur from buying a home. Closing costs can consist of:
Attorney Fees
Insurances
Title Insurance
Mortgage Loan Fees
- Put It Towards Appraisal and Inspection
Two important cost that your tax refund can go towards is the appraisal and inspection cost. Each can cost between $300-450. The appraisal is ordered by the lender, but the home inspection is provided by an inspector of the buyer’s choosing.
- Use It to Cover Moving Cost
Even if your entire home buying process goes smoothly and you have managed to purchase your home with using your tax refund money, there is still that cost associated with moving into your new home. Some of the moving cost may include renting a moving truck, purchasing packing material, paying the utility service deposit, or feeding friends and family pizza for helping with the move.
- Use It to Build Your Emergency Fund
Every homeowner should have a special fund setup for emergencies and unexpected events. You could add your tax refund to that account to help protect you from issues that may arise such as major car repairs, illness, job loss, home repairs, etc.
These are just a few ways you can put your tax refund to good use. For more information on how the home buying process works or how you can get started, contact Face To Face Realty.
