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Managing
the Costs of Moving
by Cheryl Gochnauer,
Homebodies.org
I am a habitual coupon-cutter. That means I apply the same penny-pinching
principles no matter what I've got my eye on, whether it is marked
$10 or $100,000.
My family is in the process of moving into a new home. This is undeniably
the biggest big-ticket item we've ever purchased, but my guidelines remain
the same: Get the best deal on everything from the mortgage to the welcome
mat. Here are some suggestions on managing the costs of moving.
TRY FSBO. By reading up on the subject and working closely with our
title company, Terry and I went the "for sale by owner" route and
saved several thousand dollars in commission fees. At the same time,
we worked with an excellent buyer's agent to find our new home (a
no-cost convenience for us - sellers pay her fee). Even if you decide
to list with a realtor, try to negotiate a lower percentage. For
instance, you might agree to do the marketing (running ads, showing
your house, getting a contract) and pay the realtor half commission
to handle the ensuing paperwork and closing.
BUY SMART. Is that fixer-upper really a good deal? Maybe.
But figure in everything you'll have to do to make it "perfect"
(including your time). Also, take a hard look at the neighborhood.
Are homes still appreciating in value? Remember that you'll be selling
this house yourself someday. Choose wisely, and your house will
make money for you. Choose poorly, and you'll take a financial bath.
If you're buying new, try to get in on the first phase of a development. As
the second and third phases are built, your home will automatically go up in
value. That's because building costs continue to rise, making it impossible
for builders to recreate your home for the same price. This is an excellent
way to build fast equity.
MORTGAGES. Contact several mortgage companies, comparing interest rates
and closing costs. When you find your best deal, call your favorite
lender and ask them to match or beat it.
FURNISHINGS. I spotted my dream refrigerator in the clearance
aisle, but it had a small dent in the side. The price was right,
but before I settled for the dent (even if it wouldn't show once
it was installed), I wrote down the model number and approached
a competitor. Sure enough, they agreed to match the clearance price.
I got the frig I wanted, brand-new and in the box for the same price
as the damaged one.
I am a big believer in supporting mom-and-pop businesses whenever possible.
So I shopped for several pieces of furniture at discount centers, again
noting model numbers and prices. Then I gave my hometown furniture store
the chance to match their prices. They did, plus threw in free delivery
(which saved me another $150).
MOVERS. Packing requires you to go through your house and examine every
single item. Is there a spot for it in the new place? Now is the
time to get rid of the dead weight. Toss the junk. Have a garage
sale. Give to charities. Don't pay to move stuff you never use.
Rent a trailer and ask friends to help you load. If you use professional
movers, call around for the best hourly deal. On moving day, make sure you'
ve got everything boxed up and ready to go, so you aren't paying movers to
watch you pack.
Moving is expensive, no doubt. But hold onto your frugal mindset as you make
your way through the process, and you may be surprised at how much
you can save.
Comments? E-mail
Cheryl@homebodies.org,
or visit her website at www.homebodies.org.
where you can purchase an autographed copy of her new "Stay-at-Home
Handbook: Advice on Parenting, Finances, Career, Surviving Each
Day & Much More." Cheryl's book, "So
You Want to Be a Stay-at-Home Mom," is available at Amazon.com.
Copyright 2004
by Cheryl Gochnauer.
Reproduction without permission prohibited.
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