In this post I thought about going through several different things that one can overlook when it comes to saving money on their accommodation.
Savings – accommodation
Housing is usually one of the largest expenditure items in our private economy. There are some expenses associated with the home where we can try to save money. But the first question you should ask is if you can move to smaller and cheaper?
In many cases we live too large and could move to smaller houses/apartments that cost less to heat up, cost less to maintain, have less insurance premium etc. The location of the accommodation is also important based on the commuting distance to work, distance to grocery stores and price position t. .ex. If you are close to both work and grocery stores you can save a lot of money on transport, but more about this in another post. If you can manage to find a good accommodation in an “affordable” location that meets these requirements, you can also get away with lower mortgages.
So with that said, the long-term plan may be that the next time you move to think about the size of the accommodation and to some extent also the mode of reducing your costs. But now it is safe to say that you already have a living and are not really looking to move just to save money each month. I understand!
Given your current accommodation and that you will be staying, what can you do to reduce your expenses and get more into savings?
- Mortgage rate
- Home insurance
- electricity contract
- broadband Contract
Obviously, the mortgage interest rate is super important to have negotiated with your bank to get you as much interest discount as possible. For some, it may feel painful to have to take it up with their bank official, but it “belongs” to you as a bank customer to bargain for the discount. Really a very strange system I think but now it is how it works.
In general, I usually prefer to have variable interest rates and historically it has also proved to be the “cheapest”. Fixing the interest rate is a form of insurance and the banks would not do it if they did not make money on it. But if you prefer to know exactly how much the interest rate will be for 1/3/5/10 years ahead, it may feel good to tie up.
A first check to see if you are at a decent level is to check the “average interest rate” online. The banks are obliged to report their average interest rates (not just list interest rates) that they really have to their customers. It should be said that the average interest rate is just an average, so there are loans from some $ 100,000 to tens of millions and with different loan ratios, which also affects your chances of a good discount. However, it is a good starting point to see how you are located.
What you can do is then ask several different banks what they can offer you and then you can go to your bank contact and discuss (hopefully the other banks give lower interest rates). If you do not want to keep asking yourself, there is a free service called MittBolån. They ask for you and give you a proposal from the bank that gives you the lowest interest rate. I have used the service myself and think it works well. Above all, the time saver is when you don’t have to ask all the banks yourself! Another advantage compared to asking all the banks yourself is that only one credit report is made on you via MittBolån compared to several if you asked all the banks yourself.
One final tip (which may be far away for most) is to try to become a private banking customer at one of the online brokers Avanza or Nordnet. They both have very favorable mortgage rates if you collect your savings with them. At Avanza you must have at least $ 3 million and then receive an interest rate of 0.79% at present and at Nordnet you will receive 0.99% if you have $ 2.5 million.
Yes, the classic tip for lowering indoor temperature is not that stupid. You need to have some more clothes on you, maybe even indoor slippers so as not to freeze your feet. At the same time, you lower your heating costs. Are there rooms in your accommodation where you can lower the temperature even more because you are not there so often? I am thinking of storage rooms or hobby rooms that are not used very often. Does the garage need to be heated in winter etc?
For those who own a home, it may also be of interest to investigate alternative heating options. For those of you who only have an electrically heated home, an investment in an air/air heat pump is something that can reduce running costs on electricity quite significantly, for example. It is usually possible to ask both the electricity grid supplier and the electricity supplier for tips.
The price of home insurance can vary greatly depending on which insurance company you choose. By far, the easiest way to compare if you have the lowest price is to research on Insplanet. It is a fairly detailed questionnaire that you should fill out so it may be good to have your current insurance contract in front of you so that you compare apples to apples.
Check your electricity contract. The same thing here as with the mortgage on binding, but with the flap that electricity prices usually go up in the winter when you consume the most, so it is not certain that the variable price of electricity is as good as with the mortgage. I’ve had both. But to investigate electricity prices I use either Compricer or Elskling. It may be worth checking both as they sometimes have different campaigns on different pages. If you see that there is a good offer that is better than what you have with your current supplier then you can always call your current supplier’s customer service and ask if they can do something about the price based on what you have seen on Compricer or Beloved. Electricity companies would of course keep you as a customer and mostly they can agree to any deal that is good for both parties. I have managed to do this twice!
Nowadays, well most of the bredbansavtal to their homes. Those who live in apartments can not always change themselves, but it is controlled by the association. However, those living in the house to decide. Again, prices vary and it is worth comparing.