Budgeting for Relocation

Published on May 13th, 2015

Leaving one property for a new one can bring some unforeseen costs.

No matter how you cut it, moving from one home to the next is going to have some expenses. Whether you are upgrading to a nicer home nearby, moving far for a new job, or buying your first home; extra fees can come at you fast. Read through these tips to make sure you can budget for your moving costs.

If you’re anticipating a big move, it’s best to start saving in the months before. Get out that excel spreadsheet and those budget apps to try and anticipate costs, and see how much money you should put aside for the big move. If you’re renting and expecting a security deposit back, keep in mind that your landlord handles that, so there could be delays in obtaining the extra cash. Don’t forget the tried and true method of saving. Throwing part of your paycheck into a separate moving fund could do wonders. It’s always good practice to have a financial goal to hit and maintain.

Moving Company vs. Moving Yourself
So which is it? Rent a Uhaul and call the friends or hire the moving company? The pros of getting a moving company cannot be ignored. They will be fast, as they are professionals and have done this many times. Moving companies will bring their own trucks and tools, and probably won’t break as many things as the average person. A surprise fee when hiring your friends (rather than a moving company) often happens when you realize you have to feed your helpers lunch and dinner. When it comes to moving companies, you’re not obligated to feed the movers – they’ll just take a break.

One benefit of taking a DIY approach to moving is that everything can be done at your own pace. Keep in mind what you’ll need to move – markers, boxes, and labels will be a must, along with bubble wrap or newspaper. A rental truck will be necessary for most moves, but be sure keep track of the mileage and gas fees associated with this. If you have a strong friend base and know someone who owns a truck, this approach to moving could be a breeze and fun, too.

Surprise, Surprise
Here is a quick list of the most common moving surprises:

  1. Signing up for new services? Don’t forget about those installations fees!

  2. Moving out of a rental? Landlord may try and bruise you up with some “cleaning and repair” fees. Be on the lookout.

  3. Unexpected issues could arise, keeping you from moving into your new home as scheduled. You may need to book a night or two in a hotel. If you have pets, that adds to the mix.

  4. Don’t forget to change your mailing address with the USPS. This can be easy to forget.

  5. Extra moving services may arise if you have awkward or heavy items, such as a piano. Moving these items will often result in an extra fee if you are using a moving service.

  6. Cooking at home may not be an option, so you may have to dine out for a week or so, where some extra costs can occur.

  7. How much stuff do you have? Many moves may require the rental of a storage unit for a period of time.

So, are you ready for the big move? Don’t worry, many homeowners have been through this experience and lived to tell the tale. If you’re thinking about upgrading to a new home, it’s best to start with speaking with a qualified mortgage professional. For more information about buying a home, please feel free to contact the Housing Buzz team today!

Are you ready to get your digital mortgage process started?

Want to compare your options before you get started?