Cost of Renting For First-Timers

June 2, 2022
Cost of renting for first-timers

Renting a house for the first time is exciting, but no one prepares you for the cost of renting, and it goes beyond the monthly payment for your apartment. 

Other factors will require you to spend money, especially as a first-timer. The size of your home and the state you decide to live in will affect the cost of renting. 

Also, rent prices are always subject to change. This article will serve as a guide for first-timers. 

Whether you are moving from a dorm or out of your parent’s house, here are things you need to know. 

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1. Save for your bond payment

The bond payment is a part of the total cost of renting for a first-timer. It is the money you pay at the start of your tenancy agreement. 

The bond covers damages to the property and any utility charges. It is more like a security interest and a contract between you and your new landlord. 

As a first-timer, the bond can affect your overall cost of renting. You may be required to pay the first month’s rent upfront to your property manager. 

Before moving, be sure you have your bond payment ready. Add this to your savings if you have to, as it will take a lot out of your pocket. 

Remember, the rental bond should be shared if you’re co-renting with another tenant. 

2. Take note of renter’s insurance and utilities

Cost of renting for first-timers
Image source: Moving

The renter’s insurance and money for utilities (bills) are an essential addition to the cost of renting. 

The renter’s insurance covers anything that gets stolen in your apartment. If there is a break-in or a robbery attack, the landlord will refer to the money in your rental insurance. 

It also covers damaged or stolen goods. Your renter’s insurance can also cover some utilities (electricity, water, internet). 

Bills are one of the things to save money for, especially as a first-timer. 

3. Create a budget

 

When you decide to move, have a budget for essentials and non-essentials. 

The essentials will include utilities, groceries, insurance, and rent. The non-essentials are new clothes, pets, and plants. 

Double-check the list and cut out whatever you consider extravagant. For example, You might not necessarily need a TV immediately if you have a computer. 

A music player isn’t essential, especially considering the cost of renting as a first-timer. Always be realistic with your expenses, and now is an excellent time to reduce your spending. 

4. Go for second-hand furniture 

Cost of renting for first-timers

You must pay attention to furnishing if you want your new apartment to look good. 

However, getting new furniture will be expensive. An affordable option is opting for second-hand furniture. 

When a piece of furniture is second-hand, it does not necessarily mean it’s a knock-off. It only means it’s been previously used and could still be in excellent condition.

Also, with previously owned items, there are many options to pick from, and this way, you won’t be breaking the bank. 

Buying everything at once can be very overwhelming. You can start by buying the smaller items every week; this can be while you’re searching for a place or after moving into your new house. 

The essentials like a cooking set, cutlery, and cleaning products are affordable purchases for a first-timer. 

When you have gotten the essentials, you know what’s left from your cost of renting. 

5. Get a roommate 

Cost of renting for first-timers

Whether you have a roommate or not will play a lot of role in your cost of renting. 

If you decide to share your apartment with someone, it will save you a lot of money. 

However, it is understandable if you decide to live alone. But as a first-timer, it is safe to know that having a roommate will mean splitting bills and utilities. 

6. Keep an emergency fund

Cost of renting for first-timers

There is never a specific amount of money required for the cost of renting. Therefore, an emergency fund is essential. 

 If you’re wondering what an emergency fund is, it is the money for unavoidable expenses. 

If, as a first-timer, your car breaks down after you spend everything on moving, you can dip your hands into your emergency funds. 

It can also cover medical costs and other unavoidable expenses. Make sure you have emergency funds when you decide to move out. 

7. Plan for food

Most people put this as the last on their moving checklist and end up eating out a lot. We will advise you to place food at the top of your list. 

You will need food since you’ve got a kitchen set and other cooking essentials while furnishing. 

When you have a good supply of groceries in your fridge, it will save you a lot of money. You can also fill your fridge with lots of delicious snacks. 

On days when you are out of cash for takeout or snacks, you can always grab something from your fridge. 

Also, healthy food options are essential. Even though they can be more expensive than snacks, you still need to freeze large amounts of food. 

Once you’re sure there is food in the house, you won’t have to spend much money on takeout. 

8. Get health insurance

It is safe to remember you no longer live with your parents. If you catch the flu or get sick, health insurance will help you pay the bills. 

If you’re an employee, check with your company and consider the affordable health insurance options accessible to you. 

You will also need a reliable urgent care facility so you won’t have to call your parents for every minor health issue. 

Ensure you visit several hospitals and find one that accepts your health insurance. 

9. Moving 

Cost of renting for first-timers

This is the last on your checklist. Ensure you can afford the services of a moving company. 

Before selecting one from the internet, conduct your research and ensure it’s a professional moving company with great reviews. 

You can also hire a removalist to help take everything you own to your new apartment. One tip, take account of everything you have on your property. 

Also, place fragile objects in a carton. Let the movers help you inspect your new home and revert on any damages. 

Like our guide on renting?

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