Consumer Paper I will have to worry about many things later in life, but to get started after college I will need to live somewhere other than my parents’ home. Therefore, I intend on moving out of my parents house when the time comes. There will be many aspects of moving out that I will have to look at before jumping out into the ‘real world’. It will be a scary step, but it will need to be taken sooner or later. Before making a decision about my new home, I will need to check on my finances. I plan on living in San Diego or San Francisco when I first settle on my own.
Those two cities (assuming that I live in a nice area) will be very expensive. San Diego will be about $1500 a month and San Francisco will be about $2000 a month. Those figures are not including my utility bill ($150), cable bill ($80), internet provider bill ($20), and phone line bill ($30); adding the four of those together will give me another $280 bill on top of the rent. I will not be able to afford that on my own, which brings me to the second requirement; a roommate. I will have to find someone who is as financially reliable as my self. I will not be able to pay for both of our rents, therefore my room mate will need to have the rent on time, every time.
Not only will the person need to have all of their finances in order, they will have to be very reliable as well. I do not really want a room mate, but I will not be able to afford the rent on my own. Now that I have all of my financial issues in order I will need to find a place to live. It will be hard to find a place that fits all of my needs.
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While starting out I will have to look in the newspaper. My mother is a real estate agent so she will be able to find me a place if later on I decided to buy. My roommate and I will most likely end up searching in the newspaper among other possibilities. I think the hardest part of finding an apartment will be agreeing with my room mate. In the process of renting an apartment there will be a large opportunity cost. While paying my monthly renting bills I could be saving that money to purchase a house.
I will be living on my own which is what I want, but the money I will be spending on the apartment, I could be investing in something that will help me in the future. I need to find a way to save my money yet have a place to live. An alternative that I could do would be to take a loan out for a house and pay off the loan, yet put my money towards an investment. Taking a loan out would be my first choice, the convenient choice; that would really make me watch my finances.