How to budget for your first apartment electricity grid uk


Not all complexes will come with these fees, but since they tend to be in the fine print, it’s helpful to know what to watch out for so you can ask if these fees are charged (before they come as a surprise). Some of these fees may occur on a monthly basis, while others may just be a one-time charge.

Some places may give you a break on the security deposit, though. Instead of a traditional deposit (where you get your deposit back as long as there’s no damage), you might be offered a non-refundable deposit for a much smaller amount, like $175.

Unfortunately, if there are damages to the apartment that exceed that amount, you may be on the hook for those at the end of your lease. If you take this non-refundable option, make sure you save a little each month in case you have to pay extra at the end.

Renter’s Insurance: Many management companies require that you have proof of insurance before you move in, and it’s a good idea to insure your belongings regardless. Renter’s insurance is usually around $10-$20 per month, depending on where you live and what features your apartment has, and you can ask your car insurer if they offer it. You might get a bundle discount.

Utility Deposits: Some landlords require that utilities are in your name, and you may have to pay a deposit for service, especially if you’ve never had utilities in your name before. These deposits can range from $70-$150, but as long as you pay your utilities on time, you should receive a refund. You may have to wait a few months to a year, and if you continue service with these utility companies, you can expect to receive a credit on your statement instead.

Administration Fees: Lastly, if you want to apply for an apartment, the management company will need to run your credit and conduct a background check. You typically have to pay an administration fee for this (somewhere around $100), although some companies will waive the fee if they’re offering a special.

Don’t worry — with careful budgeting and planning; you should be prepared to handle all of those one-time expenses. Renting is more affordable after the first few months of living on your own, and if you don’t move out of your place at the end of your lease, you won’t have to worry about any of those one-time fees for another year or so.

The absolute worst thing you can do is try and rent a place that’s out of your price range. If you only have $1,200 left after all is said and done, and your rent is $1,100, you’ll have to make sure your utilities don’t exceed $100, which might be rough. Wouldn’t you rather rent a place where you don’t need to worry about living paycheck-to-paycheck? How to Save Money on Your Living Situation to Make Rent More Affordable

Think of these factors as puzzle pieces and try to figure out what you can move to make your budget work. Living near your job can be the most strategic decision as you can give up your car and save money on gas, insurance, repairs, and possibly parking. In some cases, living in a city might be cheaper for these reasons.

Just be sure to consider your options and take all of the above fees into consideration when choosing an apartment. Not all places are the same, so it’s extremely important to make a note of fees when making comparisons. One apartment may have lower base rent but have higher monthly fees attached to it, making it less of a deal.