There comes a time in every young person’s life when he or she decides it’s time to move out of Mom & Dad’s place and find his or her own spot to call home. If you’re in this position, before you go and apply for a lease, there are a few things you should be well aware of when it comes to living on your own.
Build Your Credit
If you don’t have good credit when you go to buy a place, you could end up paying higher interest rates or get denied on your loan altogether. Renters are affected too — some landlords won’t rent places to people with bad credit for fear that they won’t be able to keep up with rent. And if they do, you might have to put a larger security deposit down than you would’ve needed to if you had better credit.
Budget, Budget, Budget
Write out your current expenses, then add in the ones you’ll have to pay for in your new place — rent, utilities, groceries, etc. This way you’ll be able to save up money to easily start paying for everything and avoid the stress of figuring out how’ll you’ll cover things each month.
Pay Off As Much Debt As You Can
Like we said, moving out comes with a lot of new expenses, all of which are a lot easier to pay for when you don’t have as much pre-existing debt weighing on your wallet. It might be a better idea to wait until you pay down some student loans and other debts before you decide to move out.
Practice Paying Bills
Take a few months to practice paying bills so you’re comfortable doing so by the time you move out. If you find that you’re having trouble making payments, you should consider cutting back on your expenses where you can and work on saving more money to use towards bills.
At American Investment Planners LLC, we make it a priority to help you prepare for the best financial future possible. From managing your cash to retirement planning, we’re here to help with anything you may need. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.
No comments:
Post a Comment