The apartment search process can be very hard. There are so many factors to consider, including location, price, and the quality of the apartment itself, and this is just to name a few. In considering all of these factors, it is important to find a realistic and reasonable balance between your desires/preferences and your budget, so you can live comfortably and maintain financial stability. However, the part of your apartment search that is often frustrating is realizing that your desires and budget can often conflict, as nicer apartments in better areas are always more expensive. This problem is also exacerbated by the fact that rent prices in Boston are some of the highest in the country. However, as experts in the local real estate industry we have some tips to help you find the perfect Boston apartment, that is also within your budget!
How to figure out your personal rent budget:
Despite all of the aforementioned challenges, there are plenty of resources to help you figure your personal budget for rent. A great resource is the Rent Affordability Calculator on Boston Pads. This program generates a monthly rent price for you based on your annual gross income and places you in one of 3 categories:
The High End Rent Figure (35% of your gross income)
The Middle End Rent Figure (25%)
The Low End Rent Figure (15%).
This tiered system allows you to figure out what is important to you in regards to your personal finances. For example, you may really want to live in a nice area so you may choose the high end tier, and sacrifice other areas of your finances. On the other hand, you may want to save money to travel, and opt for the low end rent figure, as where you live is not as important to you. Overall, choosing the rent price you want to pay is really dependent on your personal preferences. However, as a general rule of thumb, it is important to stick between 15%-35% of your gross income, as any more than this is financially irresponsible.
Other Financial factors to Consider:
To help you further figure out what you should pay for rent in Boston you should develop a complete overview of your personal finances. For example, you should factor in real estate expenses such as a broker's fee and the security deposit. Check out this article to learn more about common real estate deposits and fees in Boston. You may also have other debts such as credit card expenses, student loans, and car payments that may also take a chunk out of your annual income. Lastly you should evaluate your everyday expenses such as food, entertainment, and clothes. Developing a complete overview of expenses, in combination with calculating your desired rent will help you figure out exactly how much you should pay for your new apartment in Boston.
Looking for an apartment?
If you are looking for an apartment in the Boston area, start your search at Rentwise Boston. Our site has hundreds of Boston apartments available for every price range. Not only this, but our user-friendly platform makes the process easy by showing buildings instead of individual listings. Head to our website to start your search today!