How Much Money Do You Need To Move Into An Apartment

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Looking for an apartment, you'll need to ensure you have enough cash on hand to pay security deposit, 1st month rent, on-going monthly rent, moving costs, furniture expenses, and on-going living costs (credit card expenses, groceries, etc).

One must note that a significant amount of the MONEY must be paid up-front or almost immediately upon move in – this includes…1st month's rent, security deposit, renter's insurance, moving expenses and furniture costs (at a minimum).

For a 2 bedroom apartment, this could easily total $8,000 to $11,000.

So let's break it down…

Do you have enough for upfront fees?

How Much Money Do You Have to Save Before Renting | Woman Looking at Wallet | phillaptrentals.com

Typically, before move in, you will need to pay the first month's rent, security deposit, renter's insurance, and any application / admin fees up front. For example, if your rent is $1,500/month, you likely need to pay $1,500 for 1st month's rent, $1,500 for a security deposit, and perhaps a $250 admin fee. Renter's insurance could be $300 for the year. In this example, that's $3,500+ in cash up front. Also don't forget that you may need to pay extra for parking so include that in your estimate as well.

You might also be required to pay last month's rent on top of all this.

Do you have enough for furniture and décor cost?

You'll need furniture like a bed, table, couch, lamps, TV, dressers. Of course, the cost of furnishing an apartment can vary widely based on where you purchase your furnishings, the brand, the material and whether or not it's in stock. Furnishing a one-bedroom with stock furniture from a Wayfair or similar vendor can cost from $3,000 to $4,000+. For a two bedroom, it can cost $4,500 to $6,000+. You'll need this cash on hand.

Do you have enough for moving expenses?

Moving your items costs money. If you plan to move on your own locally, budget at least $200 to $500 for the rental truck plus moving supplies. If you plan to hire a professional mover, this could be $1,000 to $1,700+. Get some quotes from reputable movers. Get insurance for the move.

What is the monthly rent?

You need to know what the cost of your monthly rent will be and make sure your income is well over it so you have some leftover savings for other expenses like food, entertainment, groceries, and utilities.

A good rule of thumb is that your gross income should be at least 3 times your rent.

How much will utilities/other recurring fees?

Utilities include electricity, water, gas, trash, telephone, and the Internet. You might also have parking fees, amenity fees, and pet fees that you owe monthly. Find out from the landlord which fees are included and which you will be responsible for. No matter what, you will almost certainly have to pay for internet/cable and telephone costs on your own.

How much will you spend on food and groceries?

If you're not careful, your monthly grocery bills can add up, which is why it is always good to budget and meal plan ahead of time. Similarly, eating out regularly can put a dent in your wallet so consider how much you have left after rent, utilities and groceries before making that trip down to the local pub or café.

How much are your other life expenses?

You also likely have other expenses such as debt payments, car payments, school, and more. Be sure you have enough money for these plus any savings goals.

Err on the side of caution. Seek professional financial advice if needed.

*This article is merely meant to provide general guidance for those seeking to understand the costs associated with renting their first apartment. It is NOT in any way meant to be financial advice or a substitute for any professional financial advice. All readers are strongly encouraged to seek professional advice.

Lady Enjoying Quiet Apartment