|Boxes galore, and my bike to the right|
No, my website isn’t going anywhere. I plan on staying here, at home, for a long time.
I am, however, moving this Saturday, August 27 into a smaller apartment. I have decided that this is necessary for a few different reasons. I currently live in a three-bedroom ~1,200 square foot apartment with my girlfriend and her child. It’s a really beautiful apartment, and the complex has a beautiful pool and a fully stocked gym. It’s gated and very private. It is also expensive, unfortunately, at $1,220 plus water. My girlfriend and I both decided that this is too much money to pay for an apartment that simply provides shelter and is not an appreciating asset.
The new apartment is a 1,025 square foot two-bedroom apartment that sits right outside a major bus stop. I take the bus to/from work as my readers know, so being located right in front of the bus stop is a major benefit. The rent at this new apartment is much lower at $900 plus water. This is going to save me ~$150 a month, which will likely bring my total expenses down to approximately $1,000 a month. That is simply wonderful. The downsides are the facts that it is not gated, the gym is very small and the pool isn’t as nice. I think I’ll live!
This move is just one more step in my efforts to live in more frugal ways. I’ve already cut cable, eliminated an expensive cell phone plan, sold my car and bought a bicycle, AND took a free vacation…and that was all just in 2011! That’s a lot of changes for one year. Moving into a cheaper apartment that’s closer to public transportation was simply a no-brainer at this point. It was next in line, and the only thing that kept me from doing this earlier in the year was the fact that I was locked into a lease that didn’t expire until the end of August of this year.
I’m extremely excited about this move. It’s just a natural progression for me and this is going to pay me dividends over the next year. By saving ~$150 per month I’ll need a significantly smaller portfolio to pay for my expenses every month.
Based on a 3% entry yield, it would take a $60,000 investment to pay that difference every month!
I love needing $60k less to retire with. It feels great to need less money every month for wasteful expenses, with which I can invest the difference. It’s with that difference that I’ll accelerate my savings and reach my goals even faster. And because I need $60k less now, the finish line has just been moved closer!
Thanks to everyone out there for all the support. I really appreciate. I’ll keep everyone updated on how the move goes. The only drawback to the move is moving expenses. We’ll have to hire a moving company for the first time in my life, due to the fact that we have a washer/dryer and larger items like couches and a bed. The rent savings will more than make up for this, however. My girlfriend has been extremely supportive through this process and was actually quite keen on downsizing into a smaller/cheaper apartment with less amenities.
We’ll see how it goes!
Thanks for reading.