Rent affordability and move-out cost: what a first apartment takes in cash

Enter the rent and your income to see rent as a share of income, the cash due before you move in, how many months of saving that takes, and the rent your savings could cover up front.

Rent and move-out cost

Enter the rent and the one-time costs of the move. The lab totals the cash due before you move in and how many months of saving that takes. The values shown are samples, not averages.

Income and rent

Monthly income before tax*

Monthly rent*

Due at signing

Security deposit (months of rent)

Deposit rules and limits vary by state and landlord.

First month's rent is due at signing

Last month's rent is due at signing

Application fees

Setting up the place

Utility setup and deposits

Renters insurance paid up front

Furniture and basics

Moving

Your savings

Saved for the move so far

Saved each month

9 months

of saving $500 a month covers the remaining $4,455 of the $5,455 due before move-in, in this sample.

This week: ask the landlord for the full list of move-in charges in writing.

Rent due at signing (2 months): $3,000
Fees, setup, furniture and moving: $2,455
Cash due before move-in: $5,455
Still to save: $4,455
Rent as a share of income: 30%
Rent at 30% of income: $1,500
Rent your savings so far could cover up front: $0

Educational estimate. The 30% line is a screening measure HUD uses for cost burden, taken here on gross income; it does not say what a person can afford. Deposit, fee and setup amounts are the numbers you enter, not averages, and deposit rules vary by state and landlord. Utilities, parking, pet fees and rent increases are not modeled. HUD on rental burdens

How this calculator works

The 30% line comes from HUD, which calls a household cost burdened when it pays more than 30 percent of income for housing. The lab applies it to gross monthly income and shows rent as a share of that income. It is a screening line. It does not say what a person can afford.
Cash due before move-in is the rent due at signing plus the one-time costs. Rent due at signing is the security deposit (in months of rent) plus the first month and, if the lease asks for it, the last month. The one-time costs are application fees, utility setup, renters insurance paid up front, furniture and moving.
Months of savings needed is what you still need to cover, after the money you have already set aside, divided by what you save each month, rounded up to a whole month.
The rent your savings could cover up front starts from the money saved, takes out the one-time costs, and divides what is left by the number of rent payments due at signing.

$1,500 rent on $5,000 of monthly income

Rent is 30% of income, exactly on the line. A one-month deposit plus the first month is $3,000 of rent due at signing. Application fees of $75, utility setup of $100, a $180 renters insurance premium, $1,500 for furniture and $600 for moving add $2,455. Cash due before move-in is $5,455. With $1,000 already saved, $4,455 is left, and saving $500 a month closes that in 9 months. The deposit, fees and setup amounts are samples you replace with a real lease and real quotes.

What this assumes

Deposit rules, deposit limits and which months are due at signing vary by state, city and landlord. The lab uses the numbers you enter.
Furniture, moving and setup amounts are samples, not averages.
Income is gross, before tax. A rent that is 30% of gross income is a larger share of take-home pay.
Utilities, parking, pet fees, renters insurance after the first payment and rent increases are not included.
The lab does not add roommates. To split rent, enter your share as the rent and your share of the one-time costs.

Finance Quest is educational. It is not financial advice, and no calculator here knows your full situation.

The mistake: budgeting for the rent and not the move

The monthly rent is the number on the listing, and the cash due before the first night is a different number. In the example, rent due at signing is $3,000 but the whole move-in is $5,455, because furniture, moving and setup costs come on top. People who plan for a monthly rent they can afford can still run short of the lump sum, and the gap shows up as a credit card balance.

Common questions

Where does the 30% rule come from?

HUD counts a household as cost burdened when it pays more than 30 percent of its income for housing. It is a measurement line used in housing research and programs. It is not a rule that applies to every budget.

Is the security deposit the same everywhere?

No. State laws set limits and rules for deposits, and landlords set amounts within them. Check your state's tenant law and the lease. The lab takes the deposit in months of rent so you can match your lease.

Why does the lab use gross income?

The 30% measure is stated against income before tax. Use take-home pay as a second check, since the same rent is a bigger share of what you actually receive.

What are first and last month's rent?

Some leases ask for the first month's rent at signing and, separately, the last month's rent as a prepayment. The lab has a switch for each, plus a deposit in months of rent.

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