Ruth Upton from Kingdom Bank shares six things that Christians may want to consider when saving for a house.
If you’re looking to buy a house, there are a lot of things to think about! How can we make sure we’re making prayerful and wise choices for our financial situations when it comes to saving for a house deposit? Ruth Upton from Kingdom Bank shares six things that Christians may want to consider.
1. Continue to be generous
When working towards a particular savings goal, it can be easy to have tunnel-vision, particularly when it concerns something exciting like buying a house.
As Christians, one way we get to share God’s love with others is by being generous with all that we have. But when we’re focused on one goal, it can be easy to overlook this, whether it’s giving to our church or other ministries, or being generous in our everyday life.
The way we manage our finances matters, and, as Christians, we’re encouraged to be noticeably different in the way that we save, spend, and give, recognising that all we have comes from God.
There’s no ‘one size fits all’ formula for how this should look, but it’s important to consider what generosity means to you personally, and how you can continue to share God’s love through the resources he’s given you as part of your overall budget.
2. Research different accounts
Depending on your savings goals, some types of savings accounts will be more suitable than others. By considering different types of accounts, you can be strategic in how you save.
For instance, if you are close to being able to purchase a house, you may want an account with a shorter notice period so that you can access your money easily. Or if you are looking to save for the long term, you could consider an ISA or bond, which usually give a higher interest rate, but your funds are locked away for longer. It’s also worth considering whether a fixed or variable rate would suit your savings goals better. If you’re not sure what would be best for you, it may be worth talking to an Independent Financial Adviser.
3. Consider what ‘home’ means to you
It’s important to remember that this world is not our home. This is true for our houses too! While owning a home can provide a sense of security and comfort, Jesus is our ultimate provider. This can take the pressure off, and allow you to make reasoned and considered decisions, knowing God is the only one who can satisfy.
Kingdom Bank CEO Paul Houghton reflects, ‘Beware of how easily our hearts deceive us as we live in this beautiful but broken world. We are easily tempted to look for satisfaction, security and hope in fleeting things that won’t last and can’t deliver on promises…
A lovely home can be very satisfying, but things will break and not feel as good as you’d hoped. Keep reminding yourself that only Jesus provides real, full satisfaction.
4. Consider which location to buy in
When you’re planning where to buy your home, it’s common to look for things like transport links, local schools, and amenities. But what about praying about where God wants you to be, as his hands and feet, sharing the gospel?
If you have already been investing in relationships with neighbours and getting alongside those in your community, is it wise to try and buy in the same area so you can continue with those relational opportunities? If you’re looking to buy elsewhere, would there be a good church you could get involved with?
At Kingdom Bank we have the privilege of seeing Christians across the UK using their homes as a base for ministry. So be intentional about where you are planting yourself!
5. Don’t overcommit yourself
If you are considering taking out a mortgage, it’s important to make sure that it is affordable, and won’t stretch you beyond your financial circumstances. As Paul Houghton writes, ‘beware of becoming a slave to debt by over-borrowing, which then restricts your freedom to give generously.’
Mortgage advisors are trained to work with you and fairly assess your financial situation, but it’s important that you have a good grasp of what you can afford too. If you’re not confident about what is affordable for you long-term, you could create a budget to assess your day-to-day costs, and make sure you’ve got enough to live on.
It’s important to make sure you have a good understanding of your finances before jumping into a purchase with a long-term commitment attached. Pray for wisdom in knowing what size mortgage you should have, and don’t commit to something that’s beyond your means.
6. Consider your savings
When you deposit your money with a bank, it doesn’t just sit there, it gets used. As Christians, we might want to consider how our bank is using the money we save; how can you align your money with your beliefs, whether this is through ethical banking or other options?
Want to learn more on this topic?
Read our blog, ‘Five questions to ask when choosing a bank’At Kingdom Bank, we offer a unique way of saving. We are a fully regulated, Christian bank, so when people choose to keep their money in one of our accounts, we use it to invest in Christian ministries across the UK. Many of our customers say this idea of gospel partnership is what drives them to save with us.
John and Imogen, some of our savings customers, are choosing to save their house deposit with us for that very reason. John writes,
Rather than our money just sitting dormant in an account, it can be put to work and have a big impact for the gospel.
Looking to save with Kingdom Bank?
You can find out more on our websiteKingdom Bank does not provide financial advice. Please seek independent financial advice when structuring your finances.
Ruth is a Brand and Campaigns Manager at Kingdom Bank, specialising in brand development and campaigns that reflect the Bank’s mission to help gospel-hearted churches plant, build, and grow.
