Renting a room could be more expensive than you anticipate.
Your life’s ambition has been to move out of your parents’ home for the first time. Freedom, peace, and no one directing your actions. Pack your belongings into a few boxes, get in the car, and start partying. Renting your first place for about RM 800 a month seems manageable if your job pays you a couple thousand Ringgit Malaysia a month.
Wait a minute. It is more expensive and difficult than you may imagine to move into your first rented room. There are some unanticipated costs that you might not have considered. Budget wisely and think about how much cash you will need to save before leaving your parents’ house if you don’t want to end up on the street.
Just because you have the money in your savings account each month to cover your rent does not always indicate you have enough to move out. Experts advise saving up four months’ worth of expenses in advance in order to be financially secure. How much will you therefore need?
How Much Do You Have At The Moment?
Get a sense of how much you can afford before making any decisions. Get hold of the bank statements from the previous six months. (Don’t have an account with a bank? You are not yet prepared to move out.)
List your monthly household spending by category to determine how much you spend on items like petrol, eating out, entertainment (such as movies, bars, and concerts), apparel, video games, vaping, coffee, your phone, and Streaming services. You now have a better understanding of your present expenditures.
Look at your debts as well. You will need to pay off your loans (or at least a portion of them) before moving out if you are paying for school loans, auto payments, credit card debt, or paying your parents back for raising you and will not be able to keep up regular payments and also pay your rent.
The Moving Expenses
The expense of moving itself is another factor. Your charges may vary depending on the number of belongings you have, the amount of furniture you are carrying, and the distance you’re relocating. An average studio room will cost between RM 1200 and RM 1800 to move, a one-bedroom will cost between RM 700 and RM 1100, and a two-bedroom would cost between RM 1100 and RM 1500. Help from friends or a borrowed truck might help you save some money.
You must therefore budget for purchasing some furnishings, regardless of your current circumstances. You will need a larger truck or professional movers to transport the bed, couch, and dining room table if you are moving your own furniture into your first room.
Budget for the possibility that you will purchase your own furniture, and by shopping at second-hand shops and you may try to keep expenses low. Even though you will have to spend a little more in rent, renting a room that is just half furnished can be the most cost-effective choice.
Paying Rent And Other Dues
Rent should not account for more than a third of your monthly take-home income. Your maximum would be that. After determining your budget, research the typical monthly rent in the city or neighbourhood where you want to live. You will be able to see where you can afford to reside and how much you can anticipate to pay as a result.
However, the cost of renting your first place includes more than simply the rent. Expect to pay a lot of fees before you even sign your lease or move in. Be prepared to pay an application fee, a background check fee, a credit check fee, a security deposit (equal to or double the amount of one month’s rent), the first and possibly the last month’s rent (to make sure you don’t break your lease), move-in fees, and pet fees.
Basic Necessities
The items you will need for your first month, though, go beyond just those expenses. The cabinets in your residence are sparse and empty. The necessary ingredients for cooking and cleaning must be kept on hand.
You will need to stop by the grocery stores or the dollar store to pick up any necessary items before moving in, such as lightbulbs, toilet paper, Kleenex, paper towels, garbage bags, laundry soap, dishwashing liquid, and other supplies.
You should not count on getting Food Delivery or eating out every night. To reduce costs, you must prepare your own meals. Basic kitchen necessities like flour, sugar, baking soda, vegetable oil, seasonings, ketchup, mustard, bread, peanut butter, honey, barbecue sauce, sponges, sandwich bags, aluminium foil, and anything else you personally need, in addition to pots and pans, must be stocked in the cabinets and refrigerator. It is a lot, that! Be prepared to spend more cash in order to stock your supply closet and pantry.