Can I afford to rent my own place?

BCBob

Hi all

New to the site and would really value any advice you would be kind enough to offer.

I'm 26 and still live at home with my parents but am looking to move out into my own place. Unfortunately, I don't really have anyone I can bounce any ideas off as to if I can afford to go through with it, I am regularly told how comparatively cushy I have it at the moment so just need to be sure my 'real world' perception is not too out of whack.

I earn just over £1400 per month after tax, pension and student loans. I have no debts or loans otherwise, don't drive and have no regular monthly outgoings I would need to continue other than my £35 iPhone. I have about £9k in savings but I am uninterested in adding more to this as yet and tasking it to become a deposit on buying somewhere.

Anyway, I have seen somewhere I really like which is about 20 mins walk from work, it's a 2 bed flat in a Victorian house conversion (a fireplace and sash windows are far more appealing than some new build shoebox).

Just wondering if this budget is on the level;

Rent - £575
Council tax - £70 (inc single occupancy discount)
Electric/gas/water - £100
iPhone - £35
Tv license - £20
Bband and phone - £20
Contents insurance - £10

Total - £830 (£570 left for food and luxuries)

I'd like to keep adding £50 or so a month to savings but other than that, is this broadly manageable?

Any opinions?

immoral_angeluk

Can't see why not as long as you manage your budget.

McKneff

Cant see a problem with that to be honest.

As long as you keep to your budget.

Any problems, you could always get a lodger lo.

tylerjames

Hi bob sounds like you have done your research and should be able to manage quite comfortably.

You are also luck that you can get a 2 bedroom place in your area for £575. In my area it would cost £800. I earn the same amount as you a month so you can see it makes a difference.

Good luck!

PasturesNew

BCBob wrote: »

...a Victorian house conversion (a fireplace and sash windows are far more appealing than some new build shoebox).
...

And when it's winter you'll be freezing and no amount of heat will seem to warm the place up.

SuzieSue

PasturesNew wrote: »

And when it's winter you'll be freezing and no amount of heat will seem to warm the place up.

Yes, I was going to say that £100 for gas, electric and water is probably a bit on the low side, but he still has plenty to spare because he doesn't have a car so it won't matter. He might find it too cold in winter unless he doesn't mind the cold.

katejo

PasturesNew wrote: »

And when it's winter you'll be freezing and no amount of heat will seem to warm the place up.

Not necessarily but it depends on the condition of the windows. I had mine restored which much improved things. I'm not there anymore but I do miss those sash windows.

BCBob

PasturesNew wrote: »

And when it's winter you'll be freezing and no amount of heat will seem to warm the place up.

.

Aren't about 30% of all houses in the country Victorian conversions, they can't be that bad can they?

Thanks for the advice everyone, glad to hear I am not completely out of touch with the real value of money. Any other advice or support more than welcome.

@tylerjames; weirdly, it's one of the most expensive places I have seen in the area that would not also incur travel expenses. I just cannot stomach living in a new build, I get this horrid feeling whenever I view one that it is not conceived as a home but as a lifestyle choice which really gets on my wick, even if it would save me £75 a month. That said, the relative cost of property here just goes to show no one lives in the Black Country out of choice

Hymer72

I would save up a bit more and get a deposit down on a cheap flat, do it up and get a mortgage.

BCBob

Hymer72 wrote: »

I would save up a bit more and get a deposit down on a cheap flat, do it up and get a mortgage.

Thanks but I am not ready to buy yet, feels like more than I am ready to commit too!

jamie11

BCBob wrote: »

Thanks but I am not ready to buy yet, feels like more than I am ready to commit too!

Good thinking, but remember that rent is rent for the period it covers and then is gone forever, there are no leftovers, if you buy you are in a position to benefit from rising prices, this recession will not last forever,