Sooner or later the time comes for every child to leave the nest and start an independent life. Since the early 2000s, the number of young adults still living with their parents has soared and according to a recent U.S. study, as high as 20% of adults aged 25-34 lived at their parents’ home, which is nearly double what it was in 2005. In the state of Texas, that number is 20.6% – slightly above the national average of 20.1 % and studies indicate it’s mostly so due to the decline in employment and stagnation in wages. Moving out of your parents’ home is a big decision to make and quite a change that calls for careful planning, budgeting, research and adapting. It’s certainly not something any young person should rush in.
Talk to your parents
Whether your parents want you to keep living at home or they are supporting your decision to start an independent life, you all need to talk about your decision to move out. There will be a lot of emotions involved, often conflicting ones, so when you tell them about your final decision to move out, be considerate of their feelings as well.
Make a plan
Don’t start packing without having made a solid plan. Consult with your parents and friends, set a goal date and make your moving list. Include an approximate location, neighborhood, type of property you would like to live in, time frame and whether you plan to live alone or share the place with a roommate.
Fix your credit score
If you haven’t had an exemplary credit score so far, now is the time to fix it. Whether you wish to rent or buy, a poor credit score can have numerous negative repercussions. For instance, a mortgage lender might deny you a loan or a landlord might pick someone with a better credit score. Landlords typically run credit checks on potential tenants to get a good picture of their future paying ability. If you don’t have a credit score of your own yet, you could ask your parents or relatives with good credit to cosign for you. However, it’s advisable you use the time at your parents’ home to start building a presentable credit score. One way to do it is to sign up for a credit card and use it to pay for all your purchases. Make an effort to pay your bills on time, and your credit score will keep rising.
Look for a home
The next step is to start looking for a home, and in today’s hard-to-navigate market, it’s not easy to find one so you should begin very early on. In some markets the competition is fierce and the prices are extreme. On the other hand, some new and developing markets in Texas offer ideal opportunities for new renters. If you consider apartments for rent in Midland, you’ll find some excellent properties with great indoor and outdoor amenities for a very affordable price.
To be able to make your down payment, you’ll have to start saving to form a good budget. Once you’ve managed to save up, you’ll have to set up another budgeting program so you can figure out how to cover all the expenses of living in a new home – the rent or your mortgage, bills and groceries. Also, take into consideration your new location – if it’s further away from work, you will need to factor in your gas budget or public transportation.
Find a steady job
Without a steady income to cover all your expenses, living on your own would be extremely stressful. Such a situation typically leads to long-term financial issues like belated payments, debt, and a disastrous credit score. If you feel you’re not stable enough financially, it might be smarter to stay at home for a while longer. To get things going and reach some sort of financial stability, consider getting an entry-level position job, even if it’s not what you’ve always wanted. You’ll at least get valuable work experience and earn some money while a perfect job opportunity doesn’t come along.
While living with your parents, you’ve been using their utilities and now it’s time you set up your own at your new place so you don’t end up in a dark home with no electricity. It’s advisable you contact the utility companies early on and have things set up in time. Also, you want to keep receiving your mail so make sure you also change your address. The process is quite straightforward, but don’t forget to also change your credit card billing address and inform your bank you’re moving. You should notify your college if you’re still a student or your current employer. To avoid confusion, it’s helpful to send out an email to let your friends and family know you’ve moved. Whether you’re moving across town, to another town or continent, starting an independent life can be challenging and intimidating. However, if you get organized and prepared, both mentally and emotionally, make a good plan and secure a steady budget and get a great place to live, the transition will be smooth and exciting!