the answer to the pension crisis...

the_ash_and_the_oak

I do take ISTLs point - that (at present at least) a STR policy w view to rebuy you would have to get the timing quite precise

I just don't think this was the case last time around

In general I think STR is a good policy for getting out of something that isn't right in some way and doing it close to top is the main thing (think it should be considered as a one way thing - with rebuying or not a wholly separate issue)

the_ash_and_the_oak

(ironically ISTLs argument against STR is v similar to my argument against buying a flat)

IveSeenTheLight

Graham_Devon wrote: »

Now that you have told us 43 times. I'm convinced.

Not too sure you are though, what with having to say it over and over.

:rolleyes:
See below Graham

the_ash_and_the_oak

Also think str is really suited more towards people that might want to upsize or move anyway (rather than sell perfectly good house with eye to buying v similar again). If you think market is overheated and you might want to move in next few years its not really a risk to me because the buy/sell costs would exist anyway and you avoid the problem of having to sell or being in a chain when the crash hits (crashes hurt a lot of people in terms of reduced transactions rather than price per se imo)

Thrugelmir

the_ash_and_the_oak wrote: »

Also think str is really suited more towards people that might want to upsize or move anyway (rather than sell perfectly good house with eye to buying v similar again). If you think market is overheated and you might want to move in next few years its not really a risk to me because the buy/sell costs would exist anyway and you avoid the problem of having to sell or being in a chain when the crash hits (crashes hurt a lot of people in terms of reduced transactions rather than price per se imo)

Why do people STR? Thats the question I would ask. Most likely as they are intending to move in any event.

Majority of people settle somewhere. Personalise their homes, gardens etc. So STR to make money is most likely for relatively few.

ukcarper

the_ash_and_the_oak wrote: »

tbf my grandparents didnt use hindsight when they made the decision - don't really think its been that much of a gamble - even with the timing out quite a bit its worked out v well

Would I have benefited house in my road sold 2007 £285k sold 2009 £277k? £8k

2% agent’s fee £5.7k £1k solicitor, rent similar property 2yrs (£28.8k - int. on capital £16.2 = £12.6) Total £19.3k

Mortgage interest £1k

the_ash_and_the_oak

You wouldn't have benefitd imo.

Been trying with the last few posts to look at STR as something that could have (and has) benefited different people in different situations. I'm not really that much of an advocate of selling a perfectly good house with an eye to rebuying it again. I think str is really something thats more suited to the kind of people in this post here

the_ash_and_the_oak wrote: »

Also think str is really suited more towards people that might want to upsize or move anyway (rather than sell perfectly good house with eye to buying v similar again). If you think market is overheated and you might want to move in next few years its not really a risk to me because the buy/sell costs would exist anyway and you avoid the problem of having to sell or being in a chain when the crash hits (crashes hurt a lot of people in terms of reduced transactions rather than price per se imo)

or people like my grandparents who were beginning to worry about upkeep and maintenance and perhaps wanting to try different things like renting abroad for a while

ukcarper

I can see its ok for some but without hindsight I don’t think it is that easy to spot top and bottom. My example shows it is possible to lose money when prices are falling even if you take out the agents fee I would still have lost money.

the_ash_and_the_oak

I don't think its necessarily easy to spot the actual top and bottom - I do think its easier to spot when it might be the right time to make a certain kind of move (selling at the v top is actually pretty risky given there can be a real transaction drop off after a peak - esp in slow moving markets)

The more I look at this kind of thing do think its worth sticking up the consituent parts of a situation and making decisions based on that imo.

In your case as you suggest it wouldn't have worked out.