Moving into my first apartment (Looking for some financial advice) (Clearwater: 2015, apartment complexes)

[Adam3210]

Hey all!

I am starting my career in a couple weeks in Clearwater. I am going to have a gross salary of 40k. My estimated monthly net income with 2 allowances would be about $2,500. I have been looking at many apartments in the immediate area. I am particularly interested in Elan Gateway, Ibis Walk, and Bay Isle Key. My top choice is Elan Gateway. The apartments are new and I love how they are modeled. The rent for the floor plan I am looking at is $1,080. I really want to live here, but I am wondering if this is too much money to be spending on rent. I have looked at some other places with a range of $700-$800/month, but they are not nearly as nice. Many of these also do not include a washer/dryer which I would really prefer.

Here is some information regarding my finances. I do not have a car payment (paid off). My car insurance is $70/month. Most of these apartments are <5 miles from my job so I don't see myself spending very much in gas at all (Maybe $20-$30). My cell phone is $60/month. I don't have any other debt.

I am figuring about $50 for water/sewer/trash. I am also figuring $100-$150 for electricity. Food would likely be between $150-$200. Estimating about $50-$75 for high speed internet (Don't need cable). I am also allocating about 20% for savings which would result in $500. This would leave me with about $400 in disposable income. Is this feasible or should I look at places with lower rent? I feel like I could afford it and it would be fine, but I would love some more opinions on the matter.

Thanks so much for any input!

[SULAW2015]

Roommate.

[Adam3210]

Originally Posted by SULAW2015

Roommate.

I did that in college and it's not something I am interested in doing at this point in my life. Thanks for the input though.

[Stewabby]

About a year ago a friend decided to spend nearly half her income on rent because she really wanted to live in a house with a pool. Her arguments were similar- she didn't have cc debt or a car payment. Numerous friends, including me, tried to talk her out of it. It was just not sustainable. She ended up having to have roommates live with her. She's now finally moving up to a place much more affordable.

Try and find a place that is about 25% of your take home pay. It will make things much easier for you.

[Adam3210]

Thanks for the input! I will start considering some cheaper places.

Will I have a hard time getting approved for an apartment if I just started a new job? I have plenty of job history prior to this job, but I was curious if I have a high chance of getting denied due to this being a brand new job.

[gulfporter]

Just wanted to say 'hats off' to you for having no debt and your 20% savings plan!

Life can fling unexpected expenses at anyone....major car repair, for example.

I'd recommend you find a lower-priced rental to start and see if how your budget works out in reality. You can move to a higher-priced rental later.

[Sunshinecc]

I was going to say the same thing as Gulfporter - I, too, don't have a car payment but there is always the chance of an unexpected repair. Even if your vehicle is fairly new, there's the normal upkeep and always a chance of a flat tire (or replacing tires).

I get the wishlist that you want for an ideal rental situation (I'm a renter as well) but if you can find something that has alot of your "must have's" but not necessarily the "nice to have's", with less rent, save even more than your projected 20% that way you will have even a bigger comfort zone if you do decide to upgrade down the road.

Good luck in your search and with your new job!

[willow wind]

Many rental apartment complexes will ask that you have a monthly pay three times the amount of the monthly rent. This is less of problem if you rent privately.

As far a the new job, an engagement letter from your employer should help if anyone questions you..

I would look at slightly less expensive places. It's not forever, just a year's lease. Pick the best of the most affordable. In that year's time, learn the area, you'd be surprised at what else is out there when you're familiar with a place. .

[DT97]

The place I live in Atlanta, requires your monthly income be 2.5 x your rent.

I would suggest you fine a place under $850.

Does your job cover 100% of your health ins?

Like others have said- be prepared to have an unexpected expense pop up at least every other month.

[SeaSpur]

If I were you, I'd look for somewhere around $750 for rent. Your other expenses listed are around $550. That leaves you with $1200 left over, which sounds like a lot of money...but it can go quickly. Especially if you want to save $500 of that. I'd say you may spend more than $200 on groceries a month, too...and what if you decide to eat out for dinner or have a couple lunches each week out? Maybe a few drinks or going out on the weekends? Go to a concert? Have a major car repair?

You don't want to limit your funds all on your housing, especially when moving to an area when there is so much to do and experience.

If you were buying a house, I may suggest differently...spend as much as possible since you are owning and it will actually go somewhere for you. However, with renting- I'd get something in a safe area that has the amenities you need...and skimp where possible.

I wasted a lot of money on rent when I was younger and probably missed out on some things others were doing or I skimped out on some good restaurants or adventures with friends because of my bills...just to live in a "nice" place. Wasn't worth it.

Good luck to you!