4 things to consider before you move out of home!
- Set yourself a budget
Do you dream of owning your home someday? Stepping out there on your own for the first time can be daunting. You may notice things are a little more expensive than you initially thought. With that in mind, you may need help in making many decisions regarding the expenses you’ll incur when you’re living on your own, and to work out a budget for how you’ll manage your finances to cover them.
Your list should include a weekly or monthly amount for rent, utility bills, health insurance and health services. It is vital to learn to make a budget and stick to your budget.
You can save money on moving costs by doing it all on your own, but using a professional moving companies may save you a great deal of time, stress and injuries! They can be quite expensive so it pays to shop around to compare quotes to get a good price!
- Savings
When it comes time to move, it is important you get into the habit of living in credit and not on credit. It’s a good idea to have a healthy savings account above and beyond just your home loan or rental deposit. For renting you may find you need up to a month or two’s rent as a bond, or if buying a home you’ll need at least 5% of the purchase price. You’ll also need money for your utilities bills – a little trick that works a treat, once you know your bill payment details and have a rough idea what your bills are going to be each bill cylce, you can actually pre-pay many of these. Rather than waiting for a large bill at the end of the month, just start paying it when you receive your pay – that why when you get your bill there will likely only be a small balance to pay, or better yet you could be in credit!
Do you know what first home buyer grants are available? Check our first home buyer grants info
- Find the right property, not the first
It can be a very exciting and anxious time and it’s in our nature to want to get there as fast as possible. This can sometimes lead to jumping in too quickly. Before you decide on your first home, make sure you have considered if it is right for your circumstance. Is it close to transport? Can you get to work easily? Is there school’s nearby? Are you off a busy main road? Can you have Pets? These are just a few of the things you may want to consider before jumping in too quick and regretting your decision later!
- Set realistic expectations
We all want to get in to our dream home as soon as possible, but it’s not worth putting yourself in a position of hardship. Sometimes it makes more sense to treat your first home as a stepping stone to your next home. This applies to both renting and buying, but especially buying.
You might also need to make a decision on whether you want to live alone or in shared accommodation or even renting out your spare bedroom to help with the mortgage. Sharing is great fun if you live with friends or like-minded people who are your own age, but it can be a nightmare if you find yourself living with strangers who don’t understand you or share your ideals!
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Always remember to stay within your planned budget – buying or renting an property you really can’t afford may lead to financial hardship and you might end up in an unfavorable condition.
In a nutshell, leaving home and moving into your own place can be a bit of a challenge – both for yourself and your budget. Get in touch with the right experts in their fields to help you through this the transition and plan ahead!
