Do you know how much it will cost to move out on your own? When I was growing up, I would dream about moving out on my own. Having my own place was something I always wanted. When looking at how much it would cost to move out on my own, I would always focus on the cost of rent and whether I could afford it. What I did not realize were that there were so many other expenses I had to consider when moving out on my own. This post has many of the expenses you need to consider and budget for when thinking about moving out on your own (although, this list may not be everything that you might want/need, so you’ll need to add to this list).
Rent
Rent is likely the biggest expense you will have when moving out on your own. When you are looking for a place to live, this is the first thing you will look at when trying to move out. The biggest factors that will contribute to your rent expense are location and type of property. Apartments in the city are much more expensive than they are in the suburbs. This is because space is limited, and more people want to live in the city than out in the suburbs. And, the larger the apartment, the more you are likely to pay for it.
If you are looking to cut the cost of renting an apartment, consider finding people to rent with. A 2-bedroom apartment being split between two people is almost always cheaper than a 1-bedroom apartment you are renting yourself.
Utilities
I am going to break utilities down into two sub-categories: Main utilities, or the utilities you will absolutely need for your home, and optional utilities, utilities that are nice to have but not necessary.
Main Utilities
When getting your own place, you will need to consider the cost of utilities to keep that place running. These can include water, gas, and electricity. Sometimes, the place you rent will include these utilities, but do not expect it – you will likely have to pay for these yourself. If you’re young and moving out on your own, you could have to pay a security deposit on these utilities – I had to pay a couple hundred combined for gas and electric when my wife and I moved into our first place. Unfortunately, when it comes to having a place of your own, water gas and electric are essential. Keep these in mind when looking to rent your own place, and budget for them in advance. Check on the internet for typical costs near you.
Optional Utilities
I call these next utilities optional, because they are items you can live without, but they are likely items you do not want to live without. These are cable and internet. Anymore, most providers will bundle these together under a single package, so check out what the prices are in your area and look for good deals. Try to keep it cheap. Most providers will typically give you a one to two-year “special rate” and then hike your fees. When that time is up, try to negotiate your cost back down or switch to the competitor. Also, check with the place you plan on renting – sometimes, cable and internet are provided as part of the rental.
Food
Since you will be living out on your own, you will have to start paying for your food! And food is not cheap. This will likely be the second biggest expense you will need to budget for. Consider the type of food you will want to eat for breakfast, lunch and dinner, and head to the grocery store to see what the prices are like in your area. This will help you determine exactly how much you need to budget when it comes to food (you will also likely consider becoming an extreme couponer).
Furniture
When getting your own place, you will need to furnish your own place. You might have a bed to bring with you, but you will also want enough furniture to be able to live in your apartment. Look at furniture prices near you and budget for buying furniture. Budget yourself for buying new furniture, but keep in mind that you will likely be able to get used furniture much cheaper. Consider a used furniture store, or other options, for getting furniture for your new place.
Additional Items
The above sections list the major items you will need to consider when moving out on your own, but there are other items you will need to think about as well. Items such as plates, utensils, cooking/bakeware, nightstands – the list goes on. I recommend making a list of all of the items you think you’ll need, and then having a friend or family member (someone who already has their own place) review the list you created to make sure it’s complete.
Moving out on your own is a major milestone! It can also be very challenging. This list should help you with considering all there is when it comes to moving out on your own.