Financial Wellbeing Month

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Penny
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small tower of coins growing over a few steps, showing a final jar of more money, each step has a small green plant growing as well

Maintaining your financial wellbeing while saving for a home 

January is Financial Wellbeing Month, the perfect time to reflect on your financial health and set achievable goals for the year ahead. For many Australian women, financial wellbeing remains a challenge. According to the AMP Financial Wellness Report 2021, women’s financial wellbeing scores are 62%, compared to 66% for men. 

If you’ve got your sights set on saving for a home this year, the journey can feel overwhelming—especially in today’s market, which has been likened to The Hunger Games.  

But despite the challenges, it’s possible to work toward your goals while maintaining financial wellbeing. With the right strategies and support, you can confidently take steps closer to owning your dream home. 

Here’s how to align your financial wellbeing with your home ownership aspirations for 2025: 

1️⃣ Set Realistic Goals 

Be clear and honest about what you can afford. The temptation to “keep up with the Kardashians” or aim for a dream home beyond your means can derail your progress. Instead, define achievable home ownership milestones, such as saving for a deposit, reducing debt, or improving your credit score. Break these goals into smaller, manageable steps to track progress without feeling overwhelmed. 

2️⃣ Know Your Numbers 

Understanding your financial situation is key. Start by calculating how much you’ll need for a deposit and account for often-overlooked “hidden costs,” like stamp duty, legal fees, and moving expenses. Once you have a clear target, break it down into monthly savings goals. This approach ensures your big dreams feel more attainable. 

3️⃣ Cut Back Smartly 

Small changes in your spending habits can make a big difference. Review your budget to identify areas where you can trim costs without feeling deprived. For example: 

  • Swap a costly gym membership for free workouts at local parks. 
  • Review your utility bills for discounts or switch providers for better rates. 
  • Prep meals at home instead of dining out. Potlucks are a great way to socialise with friends, while keeping costs low. 
  • Participate in clothing swaps instead of buying new or thrifting.  

These adjustments free up funds that can go directly toward your home savings. 

4️⃣ Learn the Market 

Understanding the housing market helps you make informed decisions. Research different neighborhoods, property types, and price ranges to match your budget and lifestyle. However, avoid trying to “time the market” to find the absolute lowest price—it’s nearly impossible to predict. Instead, focus on finding the right home that aligns with your long-term goals. 

Timing the market often leads to hesitation and missed opportunities. Instead of waiting for the “perfect moment,” concentrate on being financially prepared when the time feels right for you. 

5️⃣ Boost Your Readiness 

Strengthen your financial foundation to secure a better mortgage rate when the time comes. Focus on: 

  • Paying down high-interest debts. 
  • Avoiding new credit obligations, like Buy Now Pay Later schemes. 
  • Building your credit score by staying on top of existing payments. 

These actions can increase your borrowing power and prepare you for pre-approval. 

6️⃣ Build an Emergency Fund 

Even as you save for your home, don’t neglect your safety net. Aim to have 3–6 months of essential expenses set aside to protect your financial wellbeing from unexpected shocks.