Wrong time to sell?

bobby_davro_2

Hi there,
i bought my house last May for 122k in what i thought was an up and coming area.
it is actually a 4 bed house where i was attempting to rent out the spare rooms to cover the rent.

However, so far i have only managed to rent out one of the rooms and to be fair, i have no interest in renting out the other rooms as the idea of renting my house out to strangers unfortunately no longer appeals.

The area is also very rough, my neighbour was recently burgled and i had my car window smashed last month and the alledged up and coming aspect feels light years away.

So basically, i am in a large 4 bed house renting out only one of the rooms in an area i don't like...

If i had the choice again i would have bought a smaller 2 bed flat\house in an area where i was happy to live..

Now if the market was strong, i could easily sell for a small profit and move on.

But unfortunatley i bought at the peak of the house boom so it's likely i would make a loss if i moved...... although perhaps i could now afford something nice that i couldn't afford last year.....

Interested to hear what you guys think my best options are... i think basically it comes down to the choices below

a) Stay where i am until the market improves
b) Sell now and buy elsewhere
c) Sell up and rent


Thanks

PasturesNew

c) Sell up and rent

GDB2222

bobby_davro wrote: »

Hi there,
i bought my house last May for 122k in what i thought was an up and coming area.
.....
a) Stay where i am until the market improves
b) Sell now and buy elsewhere
c) Sell up and rent


Thanks

a) Assume maybe 10 years until you can get your original money back. It may be less, but certainly not 1 or 2 years.

b) Prices are still sliding

c) That seems favourite

Prices generally are down around 10%+ since May 07

bobby_davro_2

Option C seems to be the strongest so far...
Anyone else with any input?

Thanks all

Chris2685

Well, I wouldn't sell and buy at the same time.. I imagine chains aren't doing too well in the current climate.

I would sell and rent, and buy when I was ready.

dopester

Sounds like a HMO purchase or something.

You might have to rethink your hope to "turn a profit" on your 2007 peak price purchase.

IHS88

I'd make contact with your local authority. Perhaps they woud be interested in taking it on to rent to those on Housing Benefit. Housing Benefit tenants are less fussy as they "get what they're given".
The tenant is the government so should be no worries collecting the rent.

Selling now I'm afraid does not seem like an option. You bought an the top of the market, which has fallen at least 15%.

Rather than lose 15%, rent to the local authority, rent somewhere nice yourself and wait till the market moves upwards. C
ould be a few years though.

Hope this helps.

SquatNow

It's the wrong time to be owning property.

fimonkey

What's a 'HMO' purchase??

SquatNow

fimonkey wrote: »

What's a 'HMO' purchase??

Home for Multiple Occupation.

Single house converted into flatlets, bedsits or rented out on a room-by-room basis... student rentals being the best example.