Living alone can be very expensive, especially given the scarcity of housing and high inflation. Plus, if you are young and have a lower income, living alone can pose a serious financial challenge. But is it impossible? Obviously not. You just need to be incredibly smart about your finances and start planning and saving for your intended move well in advance.
Ideally, you need to have about six months’ worth of living expenses saved before you set off alone. This may appear to be a tall ask, but it’s very much possible. Let’s explore how to do it.
How To Prepare Financially Before Moving Out
First, you need to understand how much it will cost you. You don’t need an exact amount; a ballpark figure will do. Now, you need to figure out a realistic timeline for moving out and gradually allocate a portion of your income to a savings account.
Once you have an overview of your costs and expenses, you can have a clear picture of how you can move to a new house without going broke. Here are some steps to get you started:
Understand How Much Rent You Can Afford
While moving into a beautiful, aesthetically pleasing house is amazing, you need to be realistic about how much rent you can afford while also covering other financial obligations, such as student loans, bills, car payments, health insurance, and so on.
You can start by tallying your expenses and subtracting them from your monthly income. This gives you an idea about how much of your budget can be allocated for rent. If it still doesn’t add up, you can consider moving to a more affordable place or state.
Get Yourself A Roommate
Affording rent on your own can be difficult, especially if your income is low. In this case, you can consider having a roommate to share the expenses with. Plus, having a companion can make the entire moving-out scenario less lonely for you.
Take The Time To Research Homes And Cities
When you move into a new place, you need to consider how far it is from your workplace. For example, if your workplace is a two-hour drive from your new home, the expenses may add up. If you prefer a short commute, you can look for studio-style apartments.
Look Into The Cost Of Movers
If you have a lot of things to move, you have to budget for the movers’ expenses, too. The cost would depend on how many items you need to move and how far the move is. Before you know it, these costs can fly out the window, so it’s best to get a few estimates from companies and figure out how much you can allocate to movers.
Move During The Off-Season
Generally, movers raise their rates during the busiest time of year, which runs from May to August. Likewise, you can choose less busy periods, such as weekdays, mid-month, or winter, to move in.
Look For Free Or Inexpensive Packing Supplies
Many people don’t even budget for this, but packing supplies are a common expense that eats up a significant chunk of moving costs. This is why it’s important to plan your move early, so you give yourself enough time to source the cheapest packing supplies. You can also choose recycled boxes rather than buying new ones.
Set Up A Garage Sale Or Donate Your Belongings Before Moving In
Moving to a new place should be a fresh beginning, and not a time to clutter and create a disorganized chaos. Besides, moving unnecessary items only adds to the moving expenses. The best solution is to sell or give away things you no longer need. Another handy tip is to sell or donate bulky home items and furniture when moving long distances, because what you have to pay the movers will be far more expensive.
Get Mover’s Insurance
So many things can go wrong when shifting houses. From mishandling to incorrectly packing valuable items, these mishaps can result in losses. This is why getting a mover’s insurance is a good idea. This way, the insurance company can compensate you for your loss if any valuables are broken or lost during the move.
Budget For All Your Home Needs
Remember, home appliances, furniture, cleaning supplies, and so on may have been expenses you haven’t handled in the past, but they’re now your responsibility. List out the costs of the items you need so you can budget for them. There is no need to splurge on appliances or furniture.
Since moving is a huge financial undertaking on its own, you can ease the burden on yourself by shopping at garage sales, thrift stores, or cheaper retailers. Once you are on a better financial footing, you can swap these inexpensive items for better ones.
Use Stocked Food When You Settle In
Moving in is a labor-intensive task, so food is an absolute essential. Generally, people eat out or order in for several days or even weeks until they fully settle into their new place. But this is a costly mistake that slowly eats into savings. You can opt for stocked food to ease your hunger pangs as you settle in. Plus, homemade food isn’t just wallet-friendly, but it’s the healthier option, too.
Final Thoughts
Moving out presents many financial challenges, and the only way to overcome them is to understand and prepare for a smooth transition to independent living. You need to build a strong financial foundation before you make the move. Having an emergency fund is very important as it serves as a safety net when you move out. It allows you to handle unexpected expenses or income disruptions without derailing your financial path or independence.
Building the life you dreamed of will take a lot of time and hard work. So if your first house isn’t as glamorous as you imagined it would be, don’t worry. You are now in a delicate transition period, figuring things out, and with time, things will get steadier. So be patient as you chase your lifestyle and financial goals.
