How much does it cost to move out of home?

Estimated reading time
 5 min

In this article

• The different one-off and ongoing costs of moving out – it’s more than just rent
• Why budgeting is a very important part of moving out
• How the people you move in with can affect the cost of moving out

So, you’re ready to pack up your childhood bedroom (RIP band posters), make the big move out of home and start life as a real deal adult.

But have you prepped your budget? Or have you thought about where you can afford to rent? Knowing where you stand with your finances can set you up for solo success.

And that’s why we’re here to guide you through the different things to consider when moving out of home for the first time, so you can fly the nest with confidence (feathers unruffled). 

How much does it cost to move out?

Simple answer – possibly a little more than you think. That’s why it’s important to save up as much as you can, or at least a month’s worth of rent, before you move out. When working out how much to save, there are two different types of costs that will be part of your newfound independence: one-off and ongoing.

One-off costs

• Bond – a deposit that you make to your landlord at the start of your lease (usually one month’s rent) to cover any accidental damage or missed rent
• Up to four weeks of rent in advance
• Connection costs for things like internet, electricity and water
• Removalists or renting a van
• Furniture and other homewares

Ongoing

• Rent and other bills, which you can save money on with some easy hacks
• Groceries (savings alert: stick to your list, buy in bulk and get switched on with specials)
• Transport – will you drive or use public transport?
• Contents insurance is handy to have in case your household or personal items are damaged

Ask around or go online to do a bit of research into these costs, as they’ll be different for everyone. Then plan for how you want to save. For example, you can auto-transfer certain amounts into your account through your banking app or internet banking to help you save up for these initial renting costs. 

Why do you need to budget when you move out of home?

Budgeting is a huge part of having good financial wellbeing, especially when you’re living out on your own.

A solid and honest budget can go a long way in helping you understand what you (and your roomies) can actually afford. It can highlight where you might want to change your spending habits too, like cooking cheap and easy meals at home instead of paying for meal boxes or eating out throughout the month.

So how can you start budgeting? Use our go-to budgeting tool or watch this quick video on how you can build the ultimate budget yourself. 

video

Can you live on your own or with others?

Living on your own, with your mates or your significant other is entirely your choice. Sharing a home with others can be cheaper than renting on your own. You’ll be splitting the rent, groceries and even housework with your roommates or partner, which can help lessen the financial load.

If you decide to live with some pals, then think about how you (and your roomies) want to split costs. This includes:

• rent
• groceries and other everyday expenses
• bills, like internet, water and electricity
• household furnishings, like a comfy couch or a quirky vase.

You can split the costs based on income. Or you can opt for an even split between you all. The choice comes down to what’s best for you and your roomies.

If you have a partner that you want to move in with, have an open and honest conversation about money before you find the perfect place to rent. Trust us, it can go a long way to help your relationship.

You can, of course, live on your own (or with a succulent or two). Just know that you’ll be covering the rent, bills and groceries solo.