Budgeting For An Apartment (Move Out Successfully)

Budgeting For An Apartment (Move Out Successfully)


Once you’ve figured out what … oh …Ever wondered how much money you need, or what you need to do before you get an apartment? Well, on this video you’ll learn eight important
things you need to know before you move out. For the best advice and side hustles, budgeting
and more, make sure to subscribe to my channel and hit the bell to be notified when I post
a new video every week. Budgeting for your first apartment can be
pretty intimidating, especially, when you just started managing your money. Maybe, you just got a full-time job or graduated
college, or maybe you just wanna move out just to get more privacy. Right? But if you think that moving out is as easy
as planning a weekend vacation, then guess what? You’re gonna have to think again because it’s
not. I went through hell and back when I got my
first place and quite honestly, I don’t want you guys to go through the same thing, so
please make sure to watch the entire video so that we are fully prepared to take this
huge step. Number one: Let’s talk about the reasons why
you should budget. Now, renting can be pretty expensive and hard
when you’re moving out for the first time. Especially, when your salary doesn’t get you
as far as you’d hoped. Now, this is the very reason why you need
to know how to budget. You never wanna assume how much you can afford
because if you mess up, then it can cause a lot of financial stress and even get you
evicted. Okay, so now that we’ve established why you
should budget for your first apartment; let’s talk about number two, which is: how to budget
for your first apartment. Now, just remember that your budget is going
to fluctuate depending on your income and your expenses, but after a few months have
passed; you’ll learn how to navigate this. Now, I talk more about income and expenses
in one of my videos. I will add that link in the description below,
or you can click somewhere around the screen to learn more. Okay, so there are a few ways to figure out
your monthly income. If you get paid weekly, then multiply by four. If you get paid biweekly, then multiply by
two. If your income varies every month, then take
the average of what you got paid for the last five to six months. Once you’ve figured out your monthly income,
then you’re going to subtract your expenses from that to see what’s left. Expenses include; student loans, car payment,
car insurance, groceries, gas for your car, credit card bills, entertainment, things of
that sort. Just a little side note; if you guys don’t
have a savings, then make sure to give yourself some wiggle room and put some money aside
in case of any emergencies, like in case you lose your job, or your car breaks down, you
can put away, maybe, 5 to 10% of your paycheck in a savings account, just for this. Okay, so now let’s talk about number three,
which is: how much you can afford in rent. So the universal rule is that your income
should be three times your monthly rent. So for example; if an apartment is going for
$1100, then you need to be making at least $3300 a month to qualify for it. If you’re still having trouble figuring out
what you can afford in rent, then let’s say that your monthly income is $3000. What you’re gonna wanna do is divide that
by 3, which equals 1000. What that means, is that you can afford an
apartment going for, at most, $1000. Okay, so now it’s your turn. If you can, please comment below and tell
me what obstacles you’ve faced while trying to move out. Number four is, to research the area you wanna
live in and see what the average rent is, so that way you don’t get taken advantage
of and pay more than what you should. For example, when I moved to L.A., I quickly
realized that living in the Hollywood area was going to be, pretty much, impossible because
not only was it way too small, but it was extremely expensive. So I kept looking, and a few blocks away,
I found an apartment that was not only under my price range, but it was also extremely
spacious and still within the prime location … obviously, so that’s why it’s very important
to do your research and make sure that whatever the landlord is asking for, is reasonable
for that area. To do your research, you can use sites like,
Trulia, HotPads, apartment.com, and some other ones that I’m gonna include in the description
below, so go check those out. Just a little FYI, the closer you are to the
city; the more expensive rent will be, so choose wisely. Number five is, to check what amenities they
have while you’re apartment hunting. So in other words, does it come with a parking
space, a washer/dryer, a gym … if that’s important to you … what utilities are included? Because all of this, may increase the cost
of rent for you. Ideally, you wanna get a place where all utilities
are included, so that way you can predict how much you’re gonna pay in rent easier. And when I say utilities, I’m talking about
water, internet, gas, trash. I think those are the most common ones. Number six, is to try to negotiate your rent. So for example, if you sign a 18 month lease
versus a 12 month lease, then that can actually lower your rent because you just saved the
landlord the hassle of having to find someone else to fill that apartment up. Another little trick is, if you try and find
an apartment during the winter time because they’re usually a lot cheaper. So just make sure to be patient and take your
time trying to find the right place. So guess what? It’s your turn again. If you can, please comment below and tell
me what tactics you’ve used to try and lower your rent. Let’s see how creative you’ve gotten. But you know what? Even if it’s not creative, I still actually
wanna know. Number seven, is budgeting for the initial
move-in. So I’ve noticed that this is something that
not a lot of people talk about, and to be honest; this is just as important as figuring
out how much you can afford in rent because sometimes, it can be a pretty, hefty price
of what you have to pay in upfront costs like, administration fees, a pet deposit, renter’s
insurance, security deposit. Let me break them down for you. First, let’s talk about administration fees. So if you apply for an apartment, management
will typically run your credit and do a background check on you at your expense; and that can
cost you anywhere from $50 to $150 per application. With that said, if you apply for an apartment
from a private landlord, then it can be a lot cheaper than that. Okay so, next is security deposit. This is something that landlords typically
ask for before a tenant moves in. And it’s basically designed to protect the
landlord, in case the tenant breaks or violates the terms of the rental agreement, but if
you have good credit; then it can probably be waived or if there’s some sort of like,
a special going on. Landlord’s usually require tenants to put
down one to two months worth of rent as a security deposit, but there’s also landlords
that may tell you to pay a smaller, nonrefundable fee of $100 to $300. Pet deposit is another one. And that deposit can range anywhere from $300
to $500 for just like, a one-time fee, but I’ve also seen landlords actually charge anywhere
from $10 to $50 extra per month, towards your rent. And last, but not least, is renter’s insurance. Some places actually require you to have it
before you move in. But pretty much, it actually protects you
from anything like; floods, theft, fires, things of that sort. And it’s usually pretty cheap, but I would
still ask the property manager or landlord, if that’s something that you have to pay upfront. I pay $8 a month and I actually got a discount
because I bundled it with my car insurance by switching to Geico. Just kidding, I don’t have Geico, but I did
actually get that discount for bundling it with my car insurance. So I would suggest that, maybe, you call your
car insurance and see if they can help you out with some sort of a discount. Number eight, and the final tip, is to choose
wisely. Please take all of this into account and if
you feel like you need a roommate, reconsider the location to where you wanna live, or even
start off with a studio instead of a one-bedroom apartment; then do it. But I promise it’ll get easier as you gain
more confidence and experience, but I would start off small because the last thing you
wanna do is live paycheck to paycheck. I do have some good news for you guys. If you guys are looking for ways to make some
extra cash to maybe put towards your rent, then click in the description below. I actually made some videos about side hustles
and online jobs that I think that you guys will greatly benefit from. There you have it, now you know exactly what
it takes to budget for an apartment and find a place that suits you. I invite you to join the Fab and Focused Community
to get the latest side hustle and money advice to help you gain financial freedom. The link to join is in the description below. If you like this video, please let me know
by liking it below; subscribe and share it with your friends and comment with the words,
budget like a boss, if this video helped you. Until next time.

19 thoughts on “Budgeting For An Apartment (Move Out Successfully)

  1. Thanks for Watching! There are so many things to think about before you move out. Which of the tips I mentioned was your favorite?

  2. I could really benefit by remembering to negotiate. I am the worst when it comes to just accepting what I'm being told vs. trying to negotiate a win/win. Also, definitely going to plan my move for winter. Thank you so much πŸ™‚

  3. These are such amazing tips! I couldn't agree more that you need to do your research to know what you should pay for rent.

  4. This is good! This will be helpful for a lot of people trying to make that big move. 🏒🏒🏒 #SalutesToThat

  5. Great video editing!!! It looks like professional did it πŸ™‚ Hope that style would stay. Keep dat boi hired πŸ˜‰

  6. These are some very clear, useful, and practical tips. I'll have to share them with my sons who will be leaving for university in the next couple years. Thanks for sharing! Cheers!

  7. cute bloopers, why do we always get tongue tied once the camera is rolling?!πŸ˜‚ any other time we can speak just fine lol smh

  8. LOVE the beginning and the "Fab and Focused" bar! πŸ™‚ Three times your monthly income? That's A LOT of money. But better safe than sorry, right? πŸ™‚

  9. I need to move out. My family refuses to be quiet at night. So I only get 2 to 4 hours of sleep and then work all day. Neither my aunt or my older brother work so they don't understand.

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