What is the true cost of leaving when you move to live in a new city or a new state? There are obviously many factors, but even just looking at housing costs alone, you will see that there are hidden costs to consider. Whether you are downsizing or moving into a bigger house, the selling and purchase prices are only part of the picture. What about property tax values, interest rates, and energy costs etc.? Here is a cost of moving house checklist for you to make all the meaningful comparisons when you move.
01 of 09
Many may consider this a one-time cost and disregard it. Well, the cost is significant. And for some, it may not be a one-time cost. I know of people who took out loans to move and are still paying for their moves a year or two later. Still others are paid by the hiring company in their new job to move, and can come out ahead in terms of the actual moving costs.
02 of 09
How much house can you afford to buy or rent? This is of course one of the most infuential factors in calculating what your new life in this new location will cost.
03 of 09
Even if you've searched and bought the most move-in-ready house money can buy, there will invariably still be something that you will want to do to it to make it just right for you. Renos can be anything from a kitchen remodel, adding a bathroom, or finishing the basement, to more minor things like repainting.
04 of 09
Mortgage Carrying Costs
Consider what you will be paying in principal and interest per month. Mortgage rates vary, and if you are amortized over a long period, rates have a real impact.Continue to 5 of 9 below.
05 of 09
How much you need to spend on furnishing your new place will depend on how big the house is, how much you were able to bring over from your last home, as well as personal preferences.
06 of 09
If you are moving from a warm climate to a colder climate, you will save on air-conditioning, but spend more on heating,which may more than offset the savings. A larger house will obviously use more power, but the rates play a part as well. Also consider cable TV, internet and telephone charges.
07 of 09
Property taxes vary from state to state, county to county, and city to city. Also consider other taxes. If your purchasing power is significantly eroded because of the drastically higher tax rate in your new location, the money you thought you were saving by moving is affected.
08 of 09
Before you move house, find out how much it's going to cost to commute to your new home. You might find that you can take local transit or that it will cost less to drive from your new home to your office. Use this guide to figure out what the cost of your new commute will be.Continue to 9 of 9 below.
09 of 09
Whenever you're planning a move, the first thing you should do is create a moving budget. Most people who move feel they don't have time to set up a budget, however, not preparing financially could cost you more in the long-run. Small items such as buying a new shower curtain, sheets or restocking your shelves after you move all adds up. I recommend setting a budget first, before you do anything else.
What is the cost of moving when you move into a new house? It is more than just how much you sell your old home for versus how much you spent to buy your new house. What about interest rates for your new mortgage? Renovation and remodeling costs may be incurred, and they may be higher in the state you are moving to. What about the taxes? Is there a significant difference in the property taxes? Find out more.