How to Figure Out Whether Your Cost of Living Will Go Up or Down BEFORE Making a Big Move
Today, on Redhead Mom, I’m sharing a partnered guest post about how to figure out
whether your cost of living will go up or down before making a big house payment.
Image source: Pixabay
Some countries and cities have more jobs compared to others. However, the cost of living might also be different in these countries and cities. Fortunately, the growing popularity of remote work means you can move anywhere you want and work from there.
That notwithstanding, it is important to figure out whether your cost of living will go up or down before making a big house move. In addition to the cost of living, you need to note that a bigger house means more expenses that you might not even have thought about.
Here are a few things to look at to figure out your cost of living when making a big house move;
Moving Abroad, e.g. Australia
People move from one country to another for many reasons. It might be a new job, school, or even looking for a change in everything. However, can moving abroad, for instance, to Australia, rise or lower your cost of living?
You need to consider many factors, especially the cost of things like electricity in the city you will be moving to. Even though there might be different energy providers, they all charge different prices for their services. Also consider using solar panel systems and solar battery storage; it saves you money. You can contact EcoGen America to help you install solar panels in your property and help you with Power Purchase Agreements for your business premises.
Fortunately, you can use iselect to compare electricity and select a provider who meets your requirements. All you need to do is to provide iselect with a few details about your household and the type of energy plan you are looking for and then compare the options provided.
Homebuyers need to be familiar with various types of residential properties before proceeding with the home buying process as explained by Chrystal Wright – eXp Realty.
Transportation Costs, e.g. buying a car
If you are moving from a city that has a great public transportation system, chances are that you did not need to buy a car. Some cities, such as New York, make having a car quite painful and more expensive, a cost most people cannot afford.
However, if you are moving to a smaller city whose public transport system is not easily accessible, you might have to lease or buy a car. Doing so will affect your cost of living since, apart from the initial cost of getting the car, you will need to take care of things like maintenance, parking, gas, and insurance.
If you are moving abroad, ensure that you have done some research about the public transport system. In addition, check the prices of vehicles, gas, and insurance. This will help you figure out your cost of living.
Look at Taxes
Most people do not look at taxes before making a big house move when finding out their new cost of living. They do not know that taxes vary from one state or country to another, and this can have a significant effect on their finances.
For instance, if you are moving from one state to another in the United States, you should look at income tax. This is because there are about nine states with no income tax. This does not, however, mean that the cost of living is low.
Some states have a flat rate for income tax, while others have brackets. Check the rate of income tax before moving to see how much money you will be required to pay. In addition, check for any other taxes that might be required such as sales tax. This will affect your overall cost of living.
Most people look at the positive side when moving and forget about things like the cost of traveling. If you are moving from the city where you have been raised, chances are that you have family members living in the same city.
This means that you need to factor in travel costs since you might need to visit your family over the holidays. Travel costs depend on where you will be moving to. It might just be a few hundred dollars on gas or thousands of dollars on different plane tickets.
In addition, think about where you will be staying when you visit. Will you need to pay for accommodation or can your family host you? These costs might vary, but if you do not consider them, your cost of living might go high after moving to a new location.
In conclusion, many factors can change your cost of living when making a big house move. The most important ones are discussed above and can help you figure out if the cost will go up or down. This is an important consideration since you need to ensure that you are not going to start struggling financially after your relocation.