Main Street Finance

Making the Move: How Much Does It Actually Cost?

By Jeff

Everyone knows that moving can be a financial burden. There are the obvious expenses: a realtor to sell your current home, the cost of moving trucks and movers, and, of course, the cost of financing a new home. However, there are also other costs that people may not realize at first: the time you have to take off work, a change in the cost of living, childcare, cleaning services, and more.

Typically, real estate agents take about 6% of the sale price of your home. While this has the potential of being a huge cost, it comes directly out of your income from selling your home and feels like less of an expense than the other costs associated with moving. When you sell your home, you are receiving a huge income which will likely go towards your new home, so the cost of a realtor seems inconsequential. While you could save money by selling your house on your own, you have to consider the challenges of putting your house on the market without a realtor.

Moving trucks and movers on the other hand, can really carry a punch. While far less than a realtor, the amount is coming out of your bank account rather than your paycheck. Depending on the size of the place you are moving into, the cost of movers can be anywhere between $200 and $2,000 or more.

The time off required for a move can also be an expense, especially if paid vacation isn’t included in your benefits package. Also, depending on where you are moving to, the change in the cost of living can take a while to get used to. If you are moving somewhere where the cost of living is higher than what you are accustomed to, you will need to reimagine your budget to reflect your new city. If you have children, you will have to find someone to watch them during the moving process. In the US today, the cost of babysitters and other childcare providers is an average of $14.66 an hour. The price of cleaning services for either your old or new home or both if you desire them is something else to consider.

With the many expenses associated with moving, it makes sense that a quarter of people say that they would need at least a 20% raise to consider relocating for a job. If you are thinking about moving, be prepared for all the costs that come with it.

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