Daily Archives: July 8, 2012

Moving Downtown & Apartment Budgets

(Image via)

Background

I briefly mentioned in previous posts that I will be moving out of my basement apartment soon.  I am really excited!  I have been living in my current basement apartment for almost 4 years, and I have really enjoyed my time here.  My landlord and landlady are really kind and caring people who have treated me like a grand daughter, and I am very grateful.

In the 4 years living in my apartment, I have been able to save a lot of money and have been able to build up my networth, while also allowing myself to indulge in some travel and the occasional shopping.  I have a lot of space which I share with a roommate and it’s a nice, quiet and safe neighborhood.

Why I’m Making the Move

The main reason I am moving downtown is purely for fun – I’ve always wanted to live downtown downtown.  Where I can walk everywhere and just soak in the city.  I know it doesn’t really make financial sense – in terms of saving money on housing/rent – but it’s something I want to do when I am still young.

To be able to make this move a little more wallet friendly, my sister and I will be sharing a 2 bedroom apartment.  This way, we can both live in a great location and share the burden of rent.  I’ve given up my car (again!), and I’m going to walk or bike to as many places as possible to save on transit costs.  My sister is an awesome cook and I foresee lots of cooking together and spending time together 🙂

Another reason I wanted to move downtown was to have a bit of change in my life.  With BF moving to Boston for his MBA, I wanted to do something a little exciting for myself, as well, and this is a little treat for me.

Let’s talk Numbers

The PF blogger in be is both excited and nervous about this part.  So, I put together a preliminary budget comparing my budgets for my current basement apartment and my new downtown apartment.

I took my average annual spending from 2010 and 2011 (that’s why I love tracking my expenses – real raw data!!), and broke them down to monthly averages.  Then, I took my best guess at what my anticipated expenses would be when I moved downtown.

Much of my savings will be in giving up my car.  The bold red font are discretionary items that may need to be tweaked as needed.  All in all  – it’s not too bad, although I’d love to have my annual expenses be around $20,000 total, and I still want to be saving at 50% of my take-home pay.

Readers, have you lived downtown before?  What are some frugal tips you’d like to share about living fabulously and frugally downtown?

Cheers,

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Filed under Budget, Finance