How to Make a Cross-Country Move More Affordable

Perhaps you have gotten the ideal job with a company you have always dreamed of working with. But maybe it’s thousands of miles from home. While it can be exciting to start over in another place, there are several things to consider. One of these is how it will affect you financially. With a few tips, you can make the process easy on your wallet.

Allow Yourself to Start Over with Improved Finances

As you begin to cover new expenses, it can reduce your stress to restructure your budget so you can pay off existing debt. Plus, it will improve your finances. If you haven’t paid off that last credit card debt, now is an excellent time to do so. Or you might consider consolidating student loans. For example, refinancing them with a private lender allows you to get potentially more competitive rates. Or you might get a shorter term so you can pay them off sooner.

If you are trying to pay off credit card debt, especially debt with a high-interest rate, look into your options with a personal loan from Earnest.com. You would be taking on new debt to pay off an existing balance, but if the interest rate is lower, you gain significant savings over the life of the loan. You can get matched with options in less than a minute and taking out a new loan can give you greater flexibility. That’s especially true if the cost of living will be higher in the area you’re going to.

Create a Moving Budget

It can be expensive to move across the country. You could be spending thousands of dollars between packing and transporting your belongings between cities. That can cost more if you will need to store the items before finding a home in your new city. To prepare for the cost, it’s a good idea to look into any relocation assistance that your employer might offer. If they do offer a relocation package, research what it includes. Common costs for these packages to cover might include:

• Temporary housing
• Packing
• Pre-move visits to find a home
• Other moving expenses

Not as many companies reimburse for relocation today as in the past, but some still offer full or partial coverage. Or you might get a lump sum to use as you see fit. It might be intimidating to negotiate for moving expenses, even if you are normally confident. You might want to look into having a career strategy expert help you with benefits, relocation packages, and salary negotiations before you take the job. There are also relocation loans available to help you transition well. If you have a certain amount of money to cover the expenses, you can experience less stress about how much it’ll cost. Then you’ll be able to focus on putting together your new home.

Reduce Your Moving Expenses

If you have already planned on replacing certain belongings in the future, consider getting rid of them before the move. The more items you have to move, the more you’ll spend on the job. Consider selling items you don’t need to supplement the moving budget while cutting costs. For example, if you have a window air conditioning unit in your current home but will be in an area with central AC, you might want to sell the unit. Consider the benefits and drawbacks of keeping each item, especially if you don’t use it much.

When you sell the items, try putting them online to make things easier. If you decide to list items online, it’s a good idea to take pictures of each item in natural lighting. Make sure each item is clean before selling it. If you have many small items, you might be surprised at how much space they take up. For example, you might not need to take all your soap or shampoo bottles with you since they are easy to replace. It might cost less in time and money to simply replace the bottles instead of trying to pack them and take them with you.

Look for Mortgage Options

You might need to take out a mortgage to pay for a home in a new area. If so, look at how much you currently have in investment and savings accounts and determine how much your current home might sell for. Now is also a good time to check your credit score. You should also have tax returns from the past couple of years, as well as pay stubs and bank statements.

With this information, you and the lender can create a plan. That’ll include the type of mortgage, down payment, and ideal price range. When choosing your loan, consider a lender with the lowest rates, fees, qualifications, the track record of the lender, and lock-in periods. There is no one type of mortgage that’s perfect for everyone, and a new job is a life change. It’s a good idea to stay as flexible as possible by choosing a stable, trusted lender. Once you purchase the home, you will be more settled financially.

Prepare for a New World of Finances

With a new job, your financial situation might change. For example, they may offer both long- and short-term investment options. You might get wellness programs or medical benefits, but the employer may also match contributions to a 401(k)-retirement account. Think about your goals and overall health when negotiating for the benefits package.

At some organizations, employees might get discounts on the stock in the company. If you think the company will grow in the future, consider getting stock. But don’t invest everything in one area. It’s important to diversify what you invest so you protect your assets, whether or not you stay with the employer. Once you have relocated, your social life and job will change and might require more of your time. Plus, you’ll be busy for a while setting up your new home. Now is the time to get your finances in order so you don’t experience financial stress in the future.