New Jersey Real Estate Tips January 10, 2015

Moving Costs Money: How to Budget for Moving Expenses

Moving Costs Money: How to Budget for Moving Expenses

Nothing like stating the obvious, right? Moving costs money. But it’s not just the cost of a down-payment on your mortgage or security for a rental. There are quite a few hidden costs associated with moving that can really add up.

Insurance Changes

We’re talking about both automobile and homeowners. You need to call your insurance agent right away to make sure things are set up for your move. If you are buying a new house, you’re going to need to have a new policy written. If you’re a renter, you’ll need to have your address updated. The same goes for your automobile insurance. Unfortunately, a change of address means a change of “territory.” For some that might mean a decrease in premiums but for others it may equal an increase. Find out early so you can shop around, if necessary.

Fixes to the Old Property

Odds are you’ll need to make at least a few repairs to your old residence, whether you own it or rent. The agreement you made with your buyer, or the terms of your lease if you rent, will dictate what needs to be done. Do you need to hire a plumber for a repair? Do you need to steam the carpets?

Utility Changes

The utility industry often charges at least a small fee for transferring service from one area to another. Make sure your existing company serves your new area because you may have to start with a new company. Consider your water, sewage, electricity, gas, and even internet, cable, and phone services.

Boxes and Packing Supplies

We often think we can get enough packing supplies from stores and friends, but there never really are enough boxes to go around. Plus, you’ll need some specialty items to keep your fragile pieces safe – like bubble wrap or special containers. While you may be able to borrow, and your mover may provide some supplies, you’ll likely need more than you can initially get your hands on. Put some money in your budget for extras so you don’t end up losing any of your valuables.

Hiring a Mover

It’s not a necessity, but if you are making a big move with children and pets you may find it’s simply safer (and saner) to hire a moving company to help. Yes, it costs money but they will also insure your move against damage and do all of the heavy lifting. This means lower potential for injury for you, less stress, and an overall more pleasant experience. You’ll want to get quotes from different movers in advance; and check reviews.

Leaving your old place and buying a new home isn’t always easy, but it’s worth it in the end. Add a few of these line items to your budget in the months before your move and you won’t have nearly as much sticker shock as you get closer to the big day.