Should I not sell and rent out my house?

Tassotti

So many discussions about the market level, crashes and the like.

Nobody has a crystal ball. Nobody knows if this is the right time to sell to rent (STR)

In my opinion, if you can rent the place out, cover costs and turn a profit, then rent it.

If you sell now, and the 'crash' doesn't happen, you are back to square 1. It will be even more difficult to get back on the ladder.

If you rent it for as long as it takes you to get back on your feet, move back in, or sell it or whatever.

Alternatively, consider the lodger idea. Mind you, it's not for everyone. Depends on your personality. Do you live alone (apart from the dogs)?

Gorgeous_George

scoobiesnacks wrote:

The houses on the market that I can afford are overpriced crap as far as I can see, and they're getting more expensive by the day, so it got me thinking that maybe I should keep hold of my place as an investment while I rent and sort my finances out, with a view to moving back when I can afford it, or I meet a rich girlie . I'm fairly sure I would make a profit over £250 a month on the mortgage so the figures stack up, although I realise maintenance and other costs need to be factored in.
Anyone else doing this?

If the house you would buy is 'overpriced' then so will be the house you're selling. If the house you're selling is more expensive than the house you're buying, you should 'gain' in this deal (other than stamp duty, EA fees etc).

Now, if house prices continue to rise, you lose a little (by owning a cheaper property). If house prices fall, your losses should be lower.

The biggest gamble (with the biggest potential win or lose) is to sell and rent somewhere. If house prices crash you may be able to buy a house and be mortgage free. If house prices continue to rise, you may never own a house again.

If I knew the answer, I'd be rich.



GG

scoobiesnacks

Gorgeous_George wrote:

If the house you would buy is 'overpriced' then so will be the house you're selling. If the house you're selling is more expensive than the house you're buying, you should 'gain' in this deal (other than stamp duty, EA fees etc).

Now, if house prices continue to rise, you lose a little (by owning a cheaper property). If house prices fall, your losses should be lower.

The biggest gamble (with the biggest potential win or lose) is to sell and rent somewhere. If house prices crash you may be able to buy a house and be mortgage free. If house prices continue to rise, you may never own a house again.

If I knew the answer, I'd be rich.



GG

Well put.
It's all a gamble isn't it?! My attitude to risk is low so perhaps I should stay here until I find something else, even though it's a bit of a struggle. Gonna get a six pack of Special Brew and make a decision when I've finished them. :beer: