Living alone can seem perfect once you reach a particular stage of life – it allows you to decorate and organize your home the way you want. Unfortunately, due to increasing living expenses and stagnant wages, living solo has become increasingly unattainable for many, particularly within major cities.
Many resort to having a roommate, a solution that seems to make sense financially. However, this decision could cause more trouble than it’s worth in some instances. Before you start looking for a roommate, it’s worth examining how sharing a living space could save you money to determine if it really is a beneficial decision.
Your vicinity should be your first consideration. Usually, your geographic location determines your rent, which subsequently impacts the cost-effectiveness of getting a roommate. If you live in a moderately priced city where you can afford a one- or studio apartment, but a two-bedroom apartment is out of your financial reach, getting a roommate might not save you much. You might end up either paying more due to higher rent for a larger space, or just the same amount you would ordinarily spend.
However, if you live in a city where rents are sky-high, it might be impossible to afford even a small apartment all by yourself. In this case, having a roommate could be a necessity, allowing you to live in a desirable space listed on websites like Move Flat. Thus, you must assess the current real estate market in your location before making a decision.
The financial responsibility of your potential roommate is another significant factor. Splitting bills sounds money-saving but this relies heavily on the responsibility of your chosen roommate. If they fail to pay their share promptly, you could wind up bearing the burden of late fees or making up for their shortfalls.
Bills like utilities can potentially be cheaper with a roommate since the cost of utilities for two people doesn’t generally increase dramatically, leaving you with extra cash at the end of every month. However, if your roommate is wasteful with resources, you might find your costs rising. To prevent this, you should discuss the importance of conserving utilities with them.
Furnishing a home can be expensive, and you can save money by spliting the furniture costs with your roommate. However, it is essential that you both agree on decor and color schemes to avoid conflicts.
Getting a roommate could also potentially affect your spending habits. If your roommate is a saver, you might find yourself saving more. Alternatively, if your roommate is a spender, you could find yourself spending more than you usually would.
Furthermore, you could see savings on groceries. Cooking for two can be simpler and more cost-effective than cooking for one. Discuss setting a budget and splitting food costs with your roommate – you could find that you save a decent amount on your weekly grocery shopping and on food waste.
In conclusion, whether or not to get a roommate comes down to your personal preferences and the financial implications. Make sure you consider all the advantages and disadvantages, as well as the overall costs involved, before deciding to share your living space. If it threatens your peace of mind and doesn’t offer significant savings, you may want to rethink your choice.
Has anyone had a roommate that negatively affected their finances? Visit SmartAsset.com and share your experiences!
