How much money should i save before i move out?
i'm looking for a 2 bed/2bath apartment, myself and a roommate, my monthly income is 800 and i don't want to pay more than 700 for rent (700/2=350 each). Right now i'm paying car payments, car insurance, gas, cell phone and food for myself. How much is the minimum for first time renters? i'm also taking my pet and i have no furniture at all but my bed and clothes.
Public Comments
- R750.000
- it really depends on how much you pay for your cell phone, car payments, and insurance. if you budget it all out, and you're looking at no more than 100 extra spending cash, look for a cheaper place. only having 100 in flexible spending will be eaten up way way too quickly in a crisis.
- You'll need a couple thousand. Remember you'll have to put down a security deposit, which is usually the same as the monthly rent. So basically you'll need double rent for your first month. Then you need to buy furniture/necessities. Walk around your house, and make a list of EVERYTHING you think you'll need in your own place. Then hop onto Walmart.com or another website and start looking up prices of things. Its really expensive to furnish a home.
- 3 months salary is what the reports will tell you. In this economy though, you should have 6 months salary socked away. Companies are laying off people. /
- I would say about $700 after utilities is about average...but what kind of pet? Dogs and cats will cost extra. Some places don't even allow them. What I would suggest doing is finding a place you can afford if your friend skips out. It's not something you want to think about, but it could happen and then you would be stuck. I would have at LEAST 3 months rent saved up. and remember. Most places will charge you for your first and last months rent and a deposit. So add that too.
- This is not a short answer, but it is the most practical and logical one you will get. This is from experience so I hope you bear with me here. Before you think about moving out, get out of debt and stay there. Use cash for everything. I know that last line is a shocker. You must have 3 to 6 months of living expenses saved. If you lose your job just after moving out, how would you pay your bills? Most people would just put them on a credit card and go deeper into debt. This is a sucking black hole vortex you do not want to fall into. If you make $800/month and spend $1200/month, you can quickly see where this is going. There are many things you do not have on the list above that you will have to pay for. Food, cable, internet, phone, electricity, gas, etc. These all add up quickly and will kill your monthly budget. You have made out a budget, right? If not, you really need to do it right now. Make sure you run the numbers carefully. Find out what is included and not included in the apartment you rent. I would make sure you have more than 6 months bills now that I think about it. If your roommate suddenly moves out and you are left to pay the bills on your own, Would you survive? Do not go out and purchase brand new furniture on a credit card to furnish your apartment. There are many second hand places that you can find some good stuff at cheap prices. I am not trying to scare you, I am just trying to point out all the possibilities of things that could happen. Renting an apartment on an $800/month pay is exceptionally slim margin of error. You will not have any cash to have fun with. I would highly suggest waiting until you are better prepared. Please read a book by Dave Ramsey called the total money makeover. This will help you get your financial priorities in order. It has helped my wife and I tremendously. I know you want to move out yesterday and get your life going. If you do it and you are not prepared for the realities of the real world, you will be moving back in with mom and dad. How would that feel? Stay where you are until you are financially prepared. I know this is not the answer you wanted to hear, but from practical experience, it is the best answer you will get. Good Luck.
