How to Save Money for an Apartment

Moving into a new apartment is an exciting milestone, whether it’s your first place or your next. But it’s also a major financial commitment. Set yourself up for success by creating a plan to save money for your apartment. Careful planning and smart saving mean you don’t have to stress about the month-to-month expense of rent or moving costs. Here’s how you can build a solid financial foundation and enjoy the peace of mind that comes with being fully prepared for your renting experience.

Research rent costs

Before you start saving for rent, do thorough research on typical costs in your desired area so you can build a realistic budget. 

1. Begin by browsing listings online: Use Zillow’s Rental Search Center to easily compare prices across neighborhoods and apartment sizes. 
2. Compare total housing costs: Some rentals include utilities in the cost of rent, others may charge a separate fee. Account for these variations to get an equal comparison. 
3. Consider your commute: A cheaper apartment that is farther from work may end up costing you more than a more expensive apartment that is closer when you add in the cost of gas.

By combining online research, direct verification, and a full accounting of all housing-related expenses, you'll create a clear, realistic savings goal that makes your move feel not only achievable but also financially sound.

Use the Zillow Observed Rent Index chart below to kickstart your research. The chart shows typical rents by month for the U.S., including rents for the top 100 metro areas. Typical rent represents the median, or "middle", as half of the rents fall below and above the number. Use the drop-down menu to select your metro and view your typical rent.

Set a savings goal 

Now that you have a clearer picture of rental costs, it’s time to establish a realistic savings goal. Make sure you have enough money set aside to cover these upfront expenses, with averages pulled from Zillow’s Consumer Housing Trends Report: 

• First month’s rent: The national average asking rent is $2,100/month as of mid-July 2025.
• Security deposit: Typical security deposits are around $750.
• Application fee:  The median application fee paid by renters is $50 per application.
• Renters insurance: The average yearly premium for renters insurance is $276, or $23 per month. According to Zillow research, 48% of renters say they have renters insurance. 
• Household essentials: Plan for must have essentials you may need to buy for your space, such as furniture, cookware, and cleaning supplies.

It’s also wise to build an emergency fund. Many financial experts recommend saving at least three months’ rent as a cushion in case of unexpected circumstances. This kind of preparation helps ensure a smoother transition and greater peace of mind.

Reduce expenses

Cutting back on your day-to-day expenses can free up more money to put toward your apartment. While it might mean giving up certain luxuries temporarily, the reward of securing your rental is well worth the effort. 

Simple strategies like cooking at home instead of dining out, canceling unused subscriptions or memberships, shopping smarter by buying in bulk or during sales, and choosing free or low-cost entertainment can make a big difference. Every dollar you save by trimming these costs brings you one step closer to moving into your new apartment. 

Increase your income

Boosting your income, even temporarily, can supercharge your savings. Whether that’s picking up a side hustle or selling unused belongings, these extra funds can add up quicker than you think. 

If you’re looking to boost your savings, consider finding creative ways to earn extra income. You might take on freelance work in your field of expertise, babysit or pet sit, or even become a driver for rideshare services. Decluttering and selling clothes, gadgets, or furniture you no longer use can also bring in some quick cash. Additionally, if your schedule allows, picking up part-time work can help accelerate your savings. Bringing in additional income not only helps you save faster but also empowers you to take control of your financial planning.

Automate savings

Take the guesswork out of saving by automating the process. Set up a separate savings account dedicated specifically to your apartment fund, and arrange for a portion of your paycheck to be deposited there automatically. 

Automating your savings offers several key benefits: it ensures consistency and discipline, reduces the temptation to spend money on non-essentials, and helps you budget more effectively around your primary financial goals. By setting up automatic contributions, you’ll make steady progress toward your savings without having to think about it constantly.

To balance your finances, consider following the 50/30/20 rule: Allocating 50% of your income to needs, 30% to wants, and 20% to savings and debt repayment, which can make managing your money simpler and more effective.

Consider smaller rentals or rooms for rent 

Flexibility can often lead to significant savings. If your budget is tight, consider renting a smaller space or even a room within a shared apartment. These options are typically more affordable and can help you save money while still enjoying the independence of your own place. To explore available shared living spaces, check out rooms for rent on Zillow for a variety of flexible and budget-friendly options.

There are several reasons to consider renting a smaller space. Smaller apartments typically come with lower rent and utility costs, which can help you save more money toward future goals, such as upgrading to a larger apartment. They are also easier to manage and maintain, especially for first-time renters. While smaller spaces might feel like compromises at first, they can serve as valuable stepping stones to something even better down the line.