How Much Rent Can I Afford?
Searching for the right apartment or real estate means finding the perfect balance of location, features, floor plan, and rent price. Allston has a wide variety of real estate throughout its footprint, and provides considerable choices compared to other neighborhoods in Boston. However, calculating your ideal rent payment before you start looking at real estate can help shorten your search and narrow down your options.
- As a general rule, roughly 25-30% of your monthly income should go to housing costs, depending on your general expenses. If you keep spending down in other areas, you might be able to spend a little more, but spending less will give you room in your budget for entertainment and savings. Dividing your annual income by 40 will give you 30% of your income spread across 12 months.
- Keep in mind that this figure needs to cover all your housing costs, including insurance and utilities.
- Consider your lifestyle when searching for apartments, though. Just because you can afford a certain amount doesn’t mean you should necessarily pay it. If you eat out a lot or don’t spend much time at home, a smaller place with lower rent might be best for you. However, perhaps you work mainly from home, or really want to live in a particular area to cut down on commute time or transportation costs, you should consider paying a little more.
- Factor other expenses in when comparing apartments, including utilities and other expenditures like gas, tolls or T Pass. A location near public transportation might save you money, which can go to your rent. You may also lack enough furnishings for your new place, so saving money on rent may give you enough to purchase enough furniture to make it into a home.
Figuring out your budget isn’t as difficult as you might think, with this easy three-step process.
Once you’ve figured out how much you can comfortably spend, visit allstonpads.com to browse apartments for rent and homes for sale in the exciting, fast-paced Allston-Brighton neighborhood.