So, you’ve saved your deposit, found a property and you’re confident your monthly salary will cover the rent. But are you really prepared for the cost of leaving home? We’ve done the sums, so you don’t have to!
Additional rental costs
As well as monthly rent and stumping up the cash for your deposit (often up to 6 weeks’ rent in advance), you may have to fork out for agents’ administration fees which average about £386 for two tenants according to a survey by Letting Fees UK.
While you might be energy-savvy, switching off unwanted lights and making sure your TV is unplugged at night, you may still find the cost of electricity and gas surprising. The Office of National Statistics reported last year that the average bill for the two is close to £100 every month.
Even the most shower shy of us need to fork out for the water we use. A recent report by Water UK revealed that the average price for water and sewerage services is just under £33 per month.
You know those lovely people who take your rubbish away? Unfortunately, they don’t do this for free. Householders need to pay for services, including waste collection, fire, police and local facilities through their Council Tax, with the average bill now standing at around £1,600 per year –just over £133 per month, according to a BBC article Chartered Institute of Public Finance and Accountancy.
Can’t live without your Wi-Fi? For a fast, reliable service, be prepared to stump up over £20 per month, depending on your provider, according to rates listed on Money Supermarket.
You know that old-fashioned phone that sits in the corner? Well, even if it never rings, you’ll probably need to pay line rental, whether for broadband, TV services or – gasp – to have a fixed phone. Be prepared to hand over at least £15 per month – before calls.
Even if you don’t need to insure the property (that’s the job of the landlord) you should insure the contents. The landlord’s property insurance won’t insure your possessions. Premiums vary, but you’re probably looking at around £12 per month.
TV and entertainment
Like your TV? Of course you do. Depending on your package, if you choose to install satellite or cable TV, you’re looking at a cost of over £20 per month according to Sky, although these may be bundled with your broadband, so do your research! Check out USwitch for a handy comparison of packages available.
Don't forget: you've got to eat
After doing your sums, you might have lost your appetite. But when stewing over your finances, don’t forget to factor in food. The ONS reckon that the average household expenditure on food per week was £56.10 in the period 2015/2016 – so make sure you budget wisely.