Dealing with the hands-on side of moving is stressful enough, let alone having to worry about the money side of things. You don’t want to initiate the moving process, only to find that financial setbacks will disrupt your move or life in your new home, creating distress and possible humiliation. Below is a guide to managing your budget and some of the different costs for a smooth move into your new place.
Know your initial costs
Before anything, you’ve got to get your financial bearings. Without being fully clued-up on the costs surrounding the purchase, it’s hard to know how to budget for the costs of the move itself. You need to establish the figures for the mortgage payments, the solicitor’s fees, and other administrative, financial or legal costs. Then you can see how much you’ll have left to cover your other costs.
Note that costs may vary depending on the location of your new residence. If you’re transporting your belongings to Bristol as part of your move, you’ll be moving to a city that has one of the highest concentrations of millionaires in the UK outside of London. An area that attracts wealthy people may tend to have higher costs.
Get ready for moving costs
Brace yourself because there are a lot more costs to consider. Of course, the Government’s intervention on stamp duty has come in handy and can save you around £4,000, which you can put towards moving day itself.
Here are some of the costs for which you should budget:
You may be tempted to ask a friend to help you shift your belongings into your new place, but it’s better to hire a professional removals company. Expect to shell out around £545 for a removals service, according to an article quoting figures from Rightmove on the website of the consumer organisation Which?
Do you even use that weightlifting bench? Or wish to take that tired-looking old armchair you never liked anyway? Now’s the time to get rid of some junk. As well as labour and petrol, removals companies will charge you based on how much gear they have to shift. Often, they’ll provide a tool online so you can see how much your removal could potentially set you back.
You may already hit a home run on this one if you’ve chosen the right home insurance, which will cover removals with a professional removals company. Check whether your removals provider is insured and what level of liability they accept for lost or damaged items. Don’t assume they’ll cover every item they transport.
You might be glad to see the back of your old place, but your mail is still likely to call it home for a while, so set up some redirection with Royal Mail. You can redirect your mail from between three months and a year, starting at £33.99. Again, you might feel tempted to cut out this cost, but it could see you become a victim of identity fraud if you do.
Renting? It’s likely that part of the agreement is leaving the flat clean and tidy. That could involve stumping up for a specialised tenancy cleaning service. This can cost anything between £200 and £500, depending on the size of the property and how dirty it is.
Additional unforeseen costs
You may find you have additional expenses on the day. Do you need childcare or someone to look after your pets? To get an idea of costs, a registered childminder will charge around £118 or more for 25 hours of their time. Pet sitting is relatively cheap and can cost around £20 to £30 per day.
Sort your bills and insurance when you move in
A change of address is a good time to shop around and get the best deals on home insurance — mortgage lenders will insist you have building insurance, which is one of the two types, the other being contents insurance — and on utility bills.
When it comes to your bills, you don’t have to go with the same provider as the previous occupants. Setting up a direct debit will help you stay on top of your bills and track your budget. Don’t forget to check your council tax and whether you’re eligible for a discount.
Changing home means revising your budget. You may find certain aspects of living in your new home or new location either cheaper or more expensive. Keep a careful eye on your spending until you get your financial bearings. Then you can make some smart financial choices and enjoy life even more in your new abode.