A quick apology to say sorry for the hiatus!
I got bogged down in a load of other projects that I’ve been dealing with (more on those later) but I’m excited to get back into the world of finance with all you lovely readers.
Recently, I’ve been house hunting for a new place to rent with my wife because we’re going to be moving to the highlands!
It’s where we’ve wanted to live for a long time now so it’s very exciting.
But what might be most exciting is that we get to leave behind our tiny kitchen which was a whopping 6-foot square.
We get to move out of our 1 bedroom flat into a 3 bedroom house! Absurd levels of luxury that I am very grateful for
But before we got this new place the dilemma was: do we spend less on a smaller place so that we can afford to buy sooner or do we spend more now and get a place we love?
Now the saving part of you probably thinks that going cheapest is always best right? Especially if you’re trying to save.
But that’s not always right.
For us, we love being at home and it creates a lot of happiness for us. I work from home, love cooking, my wife knits, and we enjoy a lots of other at home activities so for us having plenty of space to do all those things will make us really happy.
But don’t worry I’ve not gone soft and setting up for a life of frivolous spending on the endless quest for enough stuff.
Entirely the opposite.
We’re going to have a really spacious kitchen so cooking will be even more enjoyable which means less meals out, we maybe go out twice a week currently so if we go down to once a week it’s a saving of £200 a month, if we go down to once or twice a month, which is more likely, that’s £350 a month saved.
The new place is within walking distance of my wife’s work, another £100 a month saved compared to where she was.
So our rent will go from £410 a month up to £750 but we’re already going to be saving £450 a month. So we get an extra two bedrooms, stairs, bigger kitchen oodles of happiness from the extra space and we’re going to be spending £60 less a month!!!
Not bad right?
It always pays to stop and think about what you’re spending. Because spending the least amount across the board isn’t the frugal way, that would be being cheap.
Frugality is about optimising for your happiness, and for me, more space means more happiness so I’m happy to pay more in rent while making savings in other places.
For instance, I have no desire to sign up for digital TV. I don’t go the pub every week, already covered all the delicious meals that are going to be cooked at home so won’t need to eat out. And when I do eat out I rarely buy alcohol, I can pour alcohol into a glass at home I (hopefully) can’t make whatever I’m about to eat at home!
Those are all things I’m happy to continue without because it means we can afford our dream place.
For you, you might get your happiness from somewhere else, if you love to travel it wouldn’t make sense to rent a big place that is going to sit empty for weeks or months at a time. Or if you’re on your financial independence journey and working long hours you’re never at home so a smaller place and less rent would be better so you can save more for now and move later.
Just think about your circumstances and optimise for happiness while keeping costs to a minimum.
Stay tuned for the exciting frugal adventures of a new house!