You probably grew up knowing your neighbors. Today, not so much. A survey by insurance comparison site The Zebra found that 66% of people aren’t friends with their neighbors. Yet a majority believe it’s important for neighbors to look out for one another. In fact, 22% said they belong to an online digital neighborhood community like Nextdoor to share advice, get neighborhood news, and sell furniture and household items — minus the face to-face connection.
But what if knowing your neighbors put you in better financial shape? That’s right, knowing your neighbors can save you big money. Here’s how:
Neighbors do each other favors.
Is Aunt Sally coming to your son’s graduation? Maybe your neighbor next door can spare her guest room for a night or two. How about a ride to the airport, feeding your cat for a weekend, watching your kids for an evening, or watering your plants? Neighbors are built-in helpers that are often happy to help you handle these tasks.
Savings: Up to $500.
Neighbors give good advice.
Ever talk over the fence with a neighbor attorney? Your neighbors are endless resources whose advice can save you thousands of dollars.
“Our neighbor is an ER doctor and told us to call him if we ever have an emergency,” says Jillian Plank, from Portland, Oregon. “He is willing to assess the situation and let us know if he recommends an ER visit or a quicker, less expensive trip to an urgent care office,” says Plank.
Savings: $1,000s.
Neighbors borrow (occasionally).
Remember when your mom sent you next door as a kid for that cup of sugar? The occasional borrowing between neighbors can save you big money. Think about the cost of buying or renting a chain saw, floor sander, or snowblower. If a neighbor has one of these tools you can borrow, you can save big.
Savings: Up to $1,500.
Neighbors watch out for each other.
Maybe you always let your neighbors know when you’ll be out of town. They grab your newspaper or mail and are your eyes and ears when you’re away, preventing expensive damage like a water main burst, fire, or even thwarting a theft.
The Zebra survey found living in neighborhoods with a strong sense of community can help lower your homeowner’s insurance by reducing crime rates in your area.
Savings: up to $10,000 in loss or damages.
Neighbors may know someone willing to buy your home.
“Perhaps the biggest way that knowing your neighbors can help save you money, is knowing a friend they may want to have live next door to them, who could be the quick, easy, and less-expensive buyer for your house,” says Dan Fugardi of Beverly Hills, California. You’ll save 5%-6% of the price of your home on a real estate agent if you know a neighbor who has friends who are interested in living in your neighborhood.