No matter your age, leaving the nest is a major step toward independence. If you’re not sure how to move out of your parents’ house, taking that leap can feel as scary as it is exciting—but it doesn’t have to.
Moving out takes emotional and financial readiness and some practical preparation, including:
- Knowing when you’re ready to move out and setting realistic expectations
- Understanding your credit score and how it impacts renting or buying
- Creating a realistic budget with all your expenses, including your wireless plan
- Finding the right place to live
With the right plan in place, you’ll be ready before you even start packing. To make moving out of your parents’ home as smooth as possible, decide when you’re truly ready to leave—then take action.
Confirm you’re ready to live independently
Without a doubt, living in your own place is fun and freeing, providing you with the independence you crave. But it also comes with numerous responsibilities, including:
- Paying bills
- Buying groceries
- Meal planning
- Cleaning and maintenance
- Communicating with landlords or roommates
While you may have done some of these things at home with your parents, living on your own means handling all these important decisions yourself.
If you’re debating moving out, evaluate your emotional readiness and sense of independence. Before you sign a lease, do some honest self-reflection: Are you emotionally prepared for the good and the bad? Can you be self-sufficient? How do you handle pressure?
Once you’ve assessed your readiness to move out, don’t pack just yet—you still have a few more things to consider.
Understand your credit and its impact on moving
From a financial standpoint, checking your credit score is crucial.
Your credit score shows lenders, landlords, banks, and card issuers how likely you are to repay debt. Typically, the higher your score, the more likely you are to get favorable options for renting or buying.
Your credit score affects much more than just your ability to buy a home. This three-digit number is a key part of living independently.
How credit affects utility applications and deposits
When you move, utilities—electricity, internet, and gas—typically require an application. To start service, utility companies may look at your credit history.
Applicants with a good credit history generally have no problem securing services. If your score is low due to unpaid debts or late payments, you may be asked to pay a security deposit (the company will let you know). Essentially, a utility deposit is money a company holds to cover potential nonpayment.
As your credit score improves, you may not need to pay deposits.
Minimum credit score for renting and securing utilities
Although there’s no official minimum score for renting or setting up utilities, many landlords and providers look for a certain rating. Many prefer a score of 650+, but lower scores don’t automatically disqualify you.
You may just need to take a few extra steps before you move in.
Options for those without credit or a qualifying credit score
While a credit score is important, a low score—or no score—isn’t necessarily a dealbreaker.
The reality is that some younger people may not have a credit score yet. Your score typically starts when you get your first loan or credit card, usually at age 18 or later.
Fortunately, if your credit score is poor or nonexistent, you still have options for utilities and housing:
- Build your credit – Not in a rush to move out? Improve your credit by keeping card balances low and paying on time (ideally in full) each month. Depending on your starting point, this approach could take up to a year.
- Discuss payment options – Property managers and utility companies may accept your application if you’re willing to pay higher deposits or set up a prepaid account.
- Co-sign with a trusted adult – Someone with better credit (including your parents) can co-sign a housing or utility contract with you. This can help you secure services faster, but your co-signer is responsible for payments if you can’t make them.
- Move in with roommates – Sometimes you can sidestep utility credit checks by moving in with a friend or family member who already has service set up. Instead of paying the utility company, you’ll pay your roommate an agreed-upon amount each month. The downside? You won’t build your credit as quickly because payments aren’t reported to credit bureaus, and you may still need to be screened by a landlord before moving in.
Overall, your credit can affect moving costs, and a strong score can make life easier. With smart financial planning, you can build and maintain a good credit score from day one.
Create a realistic budget and financial plan
A detailed budget can help you maintain your credit score and prepare for the realities of living independently. After all, moving out isn’t cheap.
Once you understand how much you’re earning and spending each month, it’s easier to manage your finances. That clarity can help you adjust your habits as needed and, ultimately, save more.
Monthly expenses to consider
Start by using your banking history to list every expense you have. This can help you figure out roughly how much you spend each month. Try entering all your expenses into a spreadsheet or budgeting app for convenience.
Everyone’s bills are different, but common monthly expenses include:
- Rent
- Utilities
- Food (groceries, restaurants, takeout)
- Insurance (health, renters, homeowners, auto)
- Transportation (gas, parking, transit)
- Entertainment
- Travel
- Savings
- Emergency fund
These last two are often skipped, but they’re crucial when you’re moving out. When you live on your own, unexpected expenses are bound to come up. Cars break down. Utility bills spike. Layoffs happen.
By making savings part of your monthly expenses, you’ll maintain a financial cushion for emergencies. Create a simple financial plan for how you’ll use those savings.
Phone plan costs
One monthly expense people often forget about is their phone—especially if they’re used to being on their parents’ plan. If you’re switching from your parents’ family plan, choosing a phone plan needs to be included on your first apartment checklist.
If you start a new wireless plan with a smartphone you already own, the monthly price can vary widely depending on your data needs, carrier, plan, promos, and more.
Bundling a new smartphone with your wireless plan can increase your costs, though you can often find older models priced at $0 down or trade in your device for bill credits toward a new one.
Not sure how to pick a cell phone data plan? Think about your phone usage habits. Maybe you can get away with less data if you like to stream over your ultra-fast home internet plan.
Or maybe you like to do everything on your phone and need an unlimited data plan. If you like having the newest smartphone every year, consider AT&T’s Next Up Anytime feature, which lets you upgrade three times in a 12-month period.
Whichever phone plan or features you choose, make sure they meet your needs and keep you connected to your loved ones, wherever you live.
Find the right place to live
Whether you prefer downtown, the suburbs, a high-rise, or a ground-floor suite, your living preferences are unique. To find a place that meets your criteria, consider:
- Cost – This is probably at the top of your list. Ideally, keep your rent at no more than 30% of your gross income. For example, if you make $3,000/month before taxes, look for rent around $900. If that’s not possible, look for roommates or scale back on amenities to bring costs down.
- Location – What’s most important to you—proximity to public transit, nature, or a walkable grocery store? Rank your priorities, then search in areas that suit your needs.
- Safety – Use platforms like Reddit and Nextdoor to research neighborhoods, especially if you’re moving to a new city.
- Amenities – Amenities range from essentials like in-unit laundry to perks like on-site gyms. Decide what you can’t live without and where you can compromise to save on rent.
Between cost and convenience, there’s a lot to consider. Finding a place that meets all your criteria can be tough, so be prepared to compromise on some things.
Remember, it’s your first place—and it’s probably temporary. Still, take pride in it—it’s the one that kick-starts your independence after leaving your parents’ home.
Take the leap toward independence
Moving out of your parents’ house is a huge step forward. When you create a solid budget, develop a realistic plan, make smart compromises, and build a supportive network, you’ll be well on your way.
To build that network and stay in touch, you’ll need the right wireless plan and reliable home internet for video calls and more.
Start by checking availability for our ultra-fast internet at your new place. Our affordable high-speed plans will keep you connected to your friends and family—even after you move out. You can also bundle internet and phone services for additional savings.
Learn how to get off your parents’ phone plan, make an easy transition to your own AT&T line, and start saving as you move into your own place and enjoy your newfound freedom.
