First Time Renter....Ur opinions Please! ?

Question

I found an apartment that I like but I want ur opinions please!

It is a 1 bedroom 660 sq. ft. apt. with a great location ( right by where I work & by alot of stores and malls...stuff like that) The apartment comes w/ a full size washer & dryer (big plus 4 me!). I have my own front door (its not an apt. building) and the property has pool, tanning, gym, indoor bball court. Pets allowed ( for a fee).

The total is $675 a month plus all utilities (have 2 pay for water and trash to). This apartment is normally 710 but there is some end of summer deal right now for 675 for the whole lease. This is in Pittsburgh, PA. I'm 23 yrs. old and i make 23,000 annually. My BF will be moving in with me from out of state. He got a job as a personal trainer but its comission only at first so we dont know how much his pay checks will be until he starts mid sep. I need to decide on this apartment by this weekend. Do you think that price is about right?

Answer 1

Well, if you're making $23,000 a year, is your take-home pay around $700 every two weeks then?  And that's if you're not paying anything into a 401k, or for medical insurance, etc

You'll be spending almost 50% of your paycheck on rent, which is a lot!  I know your bf is going to be moving in with you, but since you can't count on his income, I would try to find a place I would be able to afford on my own.

I know it doesn't sound quite as fun, but if I were you, I would look into getting a roommate or two.  You're still young and have plenty of time to get nice places to live, but you don't want to start on the wrong foot and get yourself into debt.

Ideally, you'd want to start saving some money into a 401k or an IRA, and then spending maybe $400-500 a month on rent.  

Answer 2

The apartment sounds lovely - a bit small for two people, though.  

The average amount to spend on housing is about 25-30% of your gross monthly income.  So if you earn $23,000 annually, that's about $1916 a month before taxes (the "gross" or total amount).  657/1916 is 35%.  So if it was just your paycheck, I would say this apartment is too expensive, especially since the price doesn't include any utilities.

However, if you're sure your boyfriend is committed to living with you, and there's no chance he'll suddenly back out or dump you or whatever, and assuming he can earn at least $400-500 a month, then you should be just fine.

In the absolute worst case scenario, your boyfriend runs off and you hate the apartment but you have to pay it all by yourself, you can still do it.  You would have to cut back severely on other expenses, but you could leave in a year (or earlier, if you find a replacement tenant and the manager agrees).

If you've done your homework and looked around at other apartments in the area, and not found anything better, then it's probably a solid choice.

Answer 3

I am not familiar with the Pittsburgh market so I don't know if your rental rate if good or bad. I will say from a budget standpoint, your about where you should be at. As a general rule, housing cost should not exceed 35% of your budget. From the numbers you provided, you're right at 35%

Answer 4

that's about $11.00 an hour. take home pay $400 or less after taxes..

if you can figure $400.00 x 4 weeks, that's a 1,600.00 a month, take home... minus rent of $675.00... so now you're left with $925.

after you pay for food, bills, loans, water/trash.... not too bad... i'd say go for it.

find out how much the electric, gas, oil is per month. you need to save some, spend some...