Has STRing paid off for anyone?

Cleaver

stonethrower wrote: »

I sold to rent prices are down 12-15% and my investments made roughly the same. so I very happy

What about the other aspects? Socially? Living standards? The emotional aspect of not owning your home? The hassle factor?

I ask out of interest, not as a loaded question. People tend to answer this question from a financial point of view, rather than an emotional one.

Cissi

We've just moved into our dream home and that was only possible because we STR in 2005. Having said that, at the time we didn't do it to "make" money (if we had we obviously missed the peak by a couple of years!) but because we wanted more space and it was the most affordable way to get it. We sold a mid-terraced 3-bed house and rented a detached 4-bed with garage (both period houses). The interest on the cash from the one we sold (we'd paid off the mortgage) paid for 2/3 of the rent; the remaining third was far less than we'd have had to pay in mortgage interest on a similar house. Plus at the time there just wasn't anything for sale that we were interested in within our price range - we certainly couldn't have afforded the house we were renting.

Fast forward a few years and from last autumn renting was becoming unaffordable since our savings were earning hardly anything, so we started seriously looking to buy again. We'd kept our eyes open all along, but asking prices were still way too high in our opinion. This summer we finally secured a house we hadn't even allowed ourselves to dream about before. We got it at 25% below peak asking price, and this was only because of our position as cash buyers. The vendors had one deal fall through which was several tens of thousands higher than our offer, and while we were waiting to exchange they got 3 more offers at a similar high level. They stuck with us because we were able to move very quickly - they were downsizing, had found their dream retirement home and didn't want to lose it. We still feel that we got a very good deal, so even though we think prices have further to fall at least we haven't "overpaid".

Yes, renting for 4 years had its downsides (repairs taking ages and not ever done properly) but it gave us the space/location/garden that we couldn't otherwise have afforded, and eventually it helped us get to where we wanted to be. It worked for us, but I think only because at each stage we've done what worked best for our family, so not primarily with financial gain in mind. And now I don't want to move again - ever :rotfl:

zappahey

Cleaver wrote: »

What about the other aspects? Socially?

Not sure why it should be any different, assuming that the renter isn't moving downmarket

Living standards?

Ditto

The emotional aspect of not owning your home?

Don't understand this question , but my wife might not agree

The hassle factor?

Hugely reduced, no repairs to worry about, never see the LL, long term lease so we have stability.

I've answered for me.

wageslave

Didn't STR, didn't even consider it.
I know it's a huge cliche but houses have never been about profit or loss for me, it's our home.
On paper, I have made a fair amount of money because I bought, completely accidently, when the market was just beginning to rise. But unless I sell up and move into a tent, what does it matter?
I feel quite strongly that a decent home for your family should be achievable for everyone.

the_ash_and_the_oak

its a complicated situation with many factors so its not a guaranteed success or failure (depending on situation)

my gparents STR in 2004 (way too early!). yet they still are happy with their decision and consider it a success. the original idea was to sell, rent for 3-4 years and then buy something else (tho they didn't really know what they would buy - it was more an opportunity to try a few different things and see where the land lay when it came to rebuying)

in the end the renting worked out well enough that they kind of decided to put off the rebuying - regardless of what happened to prices).

the events of the last year (mainly IR) made them question their decision? yes..to an extent, but as they would be cash buyers now they realize they hold plenty cards

stonethrower

Cleaver wrote: »

What about the other aspects? Socially? Living standards? The emotional aspect of not owning your home? The hassle factor?

I ask out of interest, not as a loaded question. People tend to answer this question from a financial point of view, rather than an emotional one.

Moving home for me is part of my life, when I was younger my fathers job had him transferred around the country now I work in the construction industry and have worked all over the place so I never really saw the house as my home. for me a house is just bricks and mortar.