If you are dreaming of buying a Hawaii property, but you are worried that the cost may be too prohibitive, it might be time for you to start taking a serious look at how you can make this dream a reality. While there are no simple answers to obtaining the money needed to purchase a property in the expensive Hawaii housing market, here is a simple 5-step plan you can take to start working toward purchasing that home you have been dreaming about.

Step #1: Achieve the Right Mindset

Before you start looking for a home in Hawaii, you need to come to terms with the fact that this first home may need to simply serve as a stepping-stone toward something bigger and better. No matter where you purchase a home, your first home is often simply a starter home that gets you away from renting and into homeownership for the first time. The same is true with purchasing a home in Hawaii. Look for starter homes or condos that will get you started as you take the rest of the steps toward preparing to purchase something better.

Step #2:  Cut Expenses

Cutting your expenses will help you to start saving the money that you need to purchase your dream home. You can do this by paying your credit cards in full every month so you are not being charged with interest. If you can’t pay off your balance in full, then you need to take a serious look at what you can cut out. This may mean resisting the temptation to by a new television with all of the latest bells and whistles when the one you have still works perfectly fine. In other words, resist the urge to spend your entire paycheck and don’t allow for impulse buying.

Step #3: Start Saving

Once you have cut out unnecessary expenses, you should be able to start saving more of your check toward a down payment on a new home. Automate your savings so a portion of it is automatically put into a savings or investment account every time you get paid. This way, you never see the money, making you less likely to spend it. Your goal should be to put at least 10 percent of your paycheck into savings every time you get paid.

Step #4: Work Toward Improving Your Credit

Your credit rating will have an impact on your borrowing power. Therefore, your goal should be to achieve a FICO score of at least 740 in order to enjoy the best terms possible. The easiest way to improve your credit rating is to simply make sure your bills are paid on time each month. Automate your bill payments to ensure you are never late on a payment again.

Step #5: Increase Your Income

While this may be easier said than done, you should be continually reevaluating your situation in order to determine if you can increase your income. This may mean taking a new job or possibly adding a side job to your schedule. Care should be taken when switching jobs, however, as lenders prefer to see a steady work history when considering loan applicants.