If you’re looking to move out of home for the first time, you’ll already have a lot on your mind. That big first move is exciting and a little nerve-wracking, with a big learning curve as you get used to independent living and suddenly being responsible for all of the bills!
Get Planning
One crucial way to make it all easier is to plan your finances in advance. By having a clear budget you will know exactly how much money you have each month. You will find budget templates online for ease, or you can create your own. Note your incomings from salary and any other sources, and then list all of your expenses.
Ask your parents!
When it comes to household bills, assuming that you are renting you will have rent, utilities, contents insurance and council tax to pay, along with a phone bill if you will have a landline. Ask your parents for guidance on how much they pay and go online for advice. The letting agent should be able to tell you the property band so that you can calculate council tax. Remember to factor in other costs of living alone too – such as grocery shopping! With this, making a list, cooking from scratch and not shopping when you are hungry can all help you to keep those costs under control.
Don’t Over-Extend Yourself
Your first home needs to be affordable, so when you have your budget in place, pick a rental that doesn’t pressure your finances. You may also want to look at sharing a property with another person to halve the costs. You’ll find plenty of rental properties available at <a href=”https://www.belvoir.co.uk/letting-agents-sutton-coldfield”>Belvoir Sutton Coldfield</a> to begin your search.
Trim back spending
The sooner you can begin to trim back unnecessary spending, the quicker you will be able to afford to live in your own home, independently. Keep a spending diary to see where your hard-earned cash is going and ask yourself whether you really need something before buying it. The three day purchase rule can be useful – if you want to buy something, give yourself three days, and then if you still want it – you can.
Build Up An Emergency Savings Fund
When you rent a home, the landlord will take care of any repair costs. But you should always have an emergency savings fund to hand. For example, you might receive a larger bill than expected, or want to buy some new furniture. Start to put aside a fixed sum each month, ideally by setting up a standing order into a savings account on the day that you get paid. You’ll be amazed at how quickly it adds up!
To find your perfect first home, contact us today.
