Can I afford an apartment?

Question

I make $500 every two weeks, I want to move in an apartment that is $ 550 every month, including utilities.
I still need money to eat, and gas for my car, and also for my savings...do you think I can afford this?

Answer 1

If I read this correctly the utilities are included? If so, you can do it, it will just be really tight. You basically will only be able to work, eat (not fast food), sleep and nothing else. Until you keep moving up in your job! There are plenty of free things you can do, libraries often have things going on every month, plus you can check movies out for free there. Alot of local parks do things in the spring/summer for free. If you plan on keeping your computer internet service, I hope it's and inexpensive one. You will have to be very, very frugal!!! You can do anything you want to do!!!!

Best of luck to you!

Answer 2

Everyone has different priorities when it comes to spending. Surely, yes, you can afford to make this move, but you might regret being broke all the time. I have an idea which will really help you figure things out without getting stuck...if you're patient enough to try it.

For the next six months (which I know seems like a long time right now, but this is a priceless exercise), deposit $550/month into a savings account and see whether you can live on the rest. If you're still at home, have your parents estimate the amount of money in groceries you're consuming for free, and add that amount to it, too. Don't forget laundry at about $2/load, which is what you'll pay at a coin-op laundry.

At the end of the six months, you'll see exactly how much of a struggle it was for you to be without that much of your income. Did you have to cheat some months? Was the money always ready on the first of the month, or would your rent have been late?
If it all works out in a way that you were comfortable with, then you're ready. BONUS: You have a few thousand bucks saved up to buy some real furniture, and you won't have to suffer through having all of the nasty hand-me-downs that can make your first place feel crappy. Heck, you could even buy a washer/dryer and save yourself $50/month.

If it doesn't work out as well as you thought it might, then you're not stuck in over your head having to ask Mom & Dad for money, and you'll still have saved some money, which always comes in handy. Keep working this plan until you find the dollar figure that works for you, and know that that's what you're going to be able to afford when the time comes.

Getting that first apartment is SO exciting! If you're willing to be patient, this will work for you, and you'll have nice stuff to fill the place with. Good luck. I see that you've gotten a lot of answers on this one, and I hope that mine helped.

Answer 3

So you make a thousand dollars a month. You want to leave yourself with 450 dollars a month to live on, but you say that 550 includes utilities...I assume that is water and electric. That gives you a little over 15 dollars to live on a day for a 30 day month. Which is going to leave you a little strapped when it comes to a bad situation like a flat tire or an illness that makes it hard for you to work. Perhaps you could increase your hours at work...because 15 dollars a day to live on isn't even practical.

Answer 4

$1000 net pay - $550 rent = $450. You have to ask yourself...do I have a car payment, debt. If not, then you should be fine. You probably will have to be on a budget until you earn more money. Sounds like your young....it will be hard the first year but you'll see that over time you'll make more money and the rent won't seem like so much.

Answer 5

I make about $50 more and I live in my own place and it doesn't include utilities! You should save up some money though for just in case before you move out!

Answer 6

It doesn't sound like you are ready to be on your own. The math involved is very simple, and you shouldn't have to need help with it. Also, you should make $2000 a month if you are living in your own place, or else it will be very tough. You need a second job to increase your income.

Answer 7

According to commonly-used housing formulas, you cannot afford this apartment.

In the majority of situations, your housing payment should not be more than 30% of your income. In this case, it is about 50%.

Answer 8

No. either get roommates, rent a room in a good area for around $350.00 or an apartment in a bad area for $350.00 you'll still be broke. As was I. Find a reliable roomie.

Answer 9

Maybe, if you have absolutely no fun and eat as little as possible. But really, they say you should spend no more than 40% of your budget on shelter, and here you're spending 55%...

Answer 10

Maybe you need to find a more affordable place. like a studio. or consider getting a roommate. Colleges is usually a good place to look. just be cautious. Good Luck!