Negotiate with your landlord for a lease extension in exchange for a rent reduction, or at least no rent increase. Landlords want to keep no-drama tenants who pay their rent on time. For landlords, changing tenants can be an expensive hassle. That\u2019s why they value good tenants and may accept less rent.<\/p>\n
If your landlord insists on a rent increase, consider moving to a more affordable neighborhood, finding a roommate, and\/or downsizing to a smaller unit.<\/p>\n
If you own your house or condo, consider refinancing your mortgage. Whether you can save money on a refi is basically a matter of math <\/b>\u2014 and timing. If you got your mortgage at a time when interest rates were higher, the market may be friendlier to you now. <\/p>\n
If you can get a new mortgage somewhere around 1 percent lower than your current interest rate, it may make sense (don\u2019t forget to factor in closing costs).<\/p>\n
The interest rate on my first 30-year mortgage was an abominable 10 percent (ah, the late 1980s). But I repeatedly refinanced (and eventually switched to a 10-year mortgage) and wound up with an interest rate of less than 3 percent. In the process, my wife and I borrowed more money for a big addition to our house. Our mortgage is now paid off. So, yeah, it worked out.<\/p>\n
But we\u2019ll never see mortgage rates under 3 percent again, right? You never know. The average 30-year mortgage is now a little more than 6 percent, but dropping; earlier this year, it was more than 7 percent.<\/p>\n
I buy nonperishables \u2014 paper towels, plastic bags, dishwasher detergent, for example \u2014 at BJs, a membership-based ($60 a year) warehouse retailer. Coupons worth a few bucks are easy to access on the app (you can also avoid the checkout line by using the app). <\/p>\n
But be careful not to spend more than you intend during these big shopping trips. I buy a few groceries at BJs, like cheese, milk, and cashews, but fruits and vegetables come in quantities too large for my wife and me. Sometimes I come home with a new sweatshirt or other clothing item.<\/p>\n
BJs is one of seven places we shop at regularly, including Market Basket, Trader Joe\u2019s, Stop & Shop, and Star, a local farmers market, and two \u201cspecialty stores.\u201d Why so many? We try to take advantage of price and quality differences; fish at one place, fruit and vegetables at another, for example. We get familiar with prices by checking online and in the weekly circulars mailed to us. And we go shopping with an actual shopping list.<\/p>\n
We buy generic brands, including store brand medications instead of name brands, and stay away from heavily packaged items (with the occasional exception of Klondike ice cream bars).<\/p>\n
Another way to lower your food budget is to \u201cbatch\u201d cook. On the weekend, it\u2019s not unusual for my wife and I to whip up a batch of turkey chili, beef stew, or other dishes. (Shepherd\u2019s pie, anyone?) Some of it goes in the freezer for those nights when nobody wants to cook. We have a drawer overflowing with plastic and glass food storage containers.<\/p>\n
Cooking \u2014 as opposed to opening a box of prepared food \u2014 can make a huge difference. It allows you to improvise meals using what you\u2019ve got in the fridge instead of getting rid of leftovers. There\u2019s a lot of help online.<\/p>\n
Finally, make sure you take advantage of grocery store loyalty programs to earn discounts and rewards.<\/p>\n
The average price of a new car is now more than $50,000<\/a>. The average monthly payment on a new car loan is $750 and $530 for a used car. The average monthly payment on auto insurance in Massachusetts is about $215.<\/p>\n One way to keep costs down is to take advantage of competition in the market. When I last purchased a new car (in 2014), I first decided what I wanted (Ford Fusion) and then proceeded to three dealerships for their best offer, challenging each to do better than the latest price I got from their competition. It meant ping-ponging between the dealership with each new best offer, but it worked.<\/p>\n I presented myself as a determined buyer, pre-approved for an auto loan and reasonably knowledgeable about prices after some basic online research. The same goes for auto insurance. The way to get a lower price (for the same coverage) is to shop around instead of automatically renewing.<\/p>\n As a BJs member, I get a 5-cent discount on already low-priced gasoline. There are other rewards programs for gas. You can research the cheapest gas near you on sites such as GasBuddy<\/a>.<\/p>\n It also pays to regularly service your car. I do not recommend CarShield,<\/a> which covers the cost of repairs due to mechanical breakdowns. If you have savings and\/or decent credit, you don\u2019t need it. If you are cash-strapped and will lose your job if you lose your car, maybe it\u2019s worth it \u2014 another example of how expensive it is to be poor.<\/p>\n One of the great transportation bargains, in my opinion, is the MBTA (especially since many of the notorious \u201cslow zones\u201d have been fixed). I regularly take the Red Line to downtown Boston. It costs me $6 to park next to the station and, as a senior, $2.50 for a round trip (half price)<\/a>. It sure beats $40 for parking in a garage.<\/p>\n To save money on heating<\/a> set your thermostat at 68 degrees or lower when you\u2019re home and awake, and (a chilly) 60 degrees when nobody is home or you are asleep (using a programmable thermostat); make sure you\u2019re using energy-efficient light bulbs; turn off lights and unplug electronics when not in use; use a clothesline instead of a dryer; use a low-flow showerhead to save on water costs.<\/p>\n And weatherize your home by sealing air leaks and adding insulation. Develop a plan by first contacting Mass Save, the state-mandated energy efficiency program<\/a>, to have a no-cost assessment of your home.<\/p>\n A couple of other thoughts<\/p>\n For clothing, shop clearance only (\u201cnever pay retail\u201d); cut cable, or negotiate a better rate; cancel unused subscriptions; negotiate cell phone fees; get a library card for books, movies, board games, and events (some libraries now offer things like 3D printing machines, sewing machines, and podcast equipment).<\/p>\n Also, skip extended service plans on appliances and electronics because the vast majority of them are never used, and people often forget they even bought them in the first place.<\/p>\n Got a problem? Send your consumer issue to sean.murphy@globe.com<\/a>. Follow him @spmurphyboston<\/a>.<\/p>\n