Tembo Tips: How to Save on Moving Costs

How to save on moving costs

Purchasing a new home in the current housing market already takes quite a toll on your finances. Considering all that is involved in moving from one place to the next, these costs can add up quickly. However, there are steps that can be taken to reduce moving costs and allow you to set aside a little something extra to go towards your mortgage payments each month.

Do Your Research & Ask For Multiple Quotes

Research moving companies in your area to find out what services they offer, and how much they charge for these services. Make sure that you provide these companies with ample information regarding where you are moving to, and what you require from them. Different companies will offer different packages and rates depending on your needs. Consider the costs associated with the size and weight of your items, the amount of mileage and gas included in the quoted price, as well as the various moving supplies and number of movers that may be included in each quote. Don’t be afraid to ask questions and request a price match or discount if you come across a deal that you may not have been offered.

Consider Doing It Yourself

Depending on the number of belongings you have and the distance that you are moving, it may be more beneficial to complete the move without hiring professionals. Keep in mind, that costs do add up quickly and this may not always be the most cost-effective method. Consider the cost of a moving van, boxes, and other supplies that you will need to complete your move. Reach out to friends and family who may be willing to assist with loading and unloading; saving you from the cost of hiring professional movers. Make a list of everything that you will need as well as items that you may already have, and compare the total cost to the quotes you have received from moving companies to determine the best option for you.

Get Rid of What You Can

Reducing the amount of items you are taking with you will ultimately cut down costs by decreasing the weight of your load, as well as the number of boxes needed. Does your old furniture fit in your new space? Make sure you take measurements and are sure that everything you are moving has a space in your new home. If it doesn’t fit – get rid of it! Selling gently used items that you no longer need will also make you some money that you can use towards your moving supplies. Is the item worth less than the cost to move it? The cost to move an item should be a fraction of the cost to replace it. Don’t be afraid to sell it and purchase a new one for less than the cost of moving it.

Home Buying Tips for First Timers

Bigger down payments are better: Aim for 20% of the value of the home, don’t forget that you can use any RRSP funds you have towards the purchase; usually up to $25,000. Bigger down payments result in lower monthly mortgage payment.

Be mindful of closing costs: First time buyers can fail to factor in the costs of home inspection, legal fees, transfer taxes, paying for appraisal, interest adjustments, and insurance costs. All together these costs can total 1-5% percent of the overall costs.

The government will help, a little: The Government of Ontario recently doubled the first-time homebuyer’ maximum land transfer tax refund to $4,000. The increased rebate went into effect on January 1 of this year. If you’re buying a condo or home that costs less than $368,000, you won’t pay land transfer taxes.

Create a moving budget: Moving isn’t cheap. If you hire a moving company and are travelling long distances, it’ll cost you. Appliances, new furniture, renovation’s and repairs, even insurance rate changes are some of the potentially hidden costs of moving you should keep in mind.

Start with a condo: If you are like most people, you’ll want a slice of paradise and a detached home. And, like a lot of people in todays market, this will be too expensive for your reach. Buying a condo is one way that will help you build equity  within a relatively short period of time to help enable you to upgrade and afford a small home. Progressively leapfrogging from one property to another is a great path to the home of your dreams.

Have you sold your home, and now can use an advance on your equity before closing day, perhaps you need money for renovations?  Tembo Financial can help!  Tembo offers this unique service to homeowners in Ontario and the GTA. You could receive your money in as little as 48 hours with no credit check and no appraisal* for expenses that matter to you.  Don’t wait, start today!

*Subject to qualification.