Should I stay or should I go?!

planetcat

Hi everyone, I am currently living in a house I bought three years ago for £88,000 (was valued at £96,000 at the time). I now need to move 2 miles up the road to the next village which is significantly more pricey (and nicer!) than where I live and need to sell. I think it's unlikely that I would get anymore than I paid for it, and quite possibly less than that, but my mortgage is £76,000 so I would get some equity.
My dilemma is this: do I sell it now, sit on the equity and wait for prices to drop whilst saving like a mad woman, and then buy in about nine months?
Everyone I speak to has a different view on how the housing market is likely to go but the majority seem to think the prices will drop a little more. I'm worried that if I don't make a move now I could be stuck where I am for the next few years.
I've been going round in circles for weeks and abit of advice would be very much appreciated.
By the way, I am able to rent a room from a friend in the interim which would considerably reduce my outgoings thus allowing me to save more.
Many thanks

Cannon_Fodder

How often do houses in your budget come up in the next village?

I wouldn't sell with the assumption of making a gain from house drops. Treat that as a bonus, if it happens.

But it could be worth being sold and ready to go, rather than hoping that a buyer comes along for your place when an ideal house comes up. Otherwise someone else could beat you to it.

It could take 9 months to sell. So save like a mad thing, anyway.

Emmzi

you *need* to move 2 miles?

isn't it cheaper to buy a bike?

confused!

Cannon_Fodder

School catchment ?

planetcat

Hi, thanks for your replies so far. The reason I need to move is that my mum lives in the next village and I need to be nearer to her. Although its only a couple of miles theres no direct bus route. I have no brothers or sisters so it means I need to be closer to her.
The house prices there are higher than where I currently live but I could afford one at the lower end of the market.

mostlycheerful

Might take a year or two or three to sell, or even be unsaleable, even if you offer out cheap. According to recent media reports there’s been about 750,000 sales since June 09 and 1.1 million people who can’t sell. Yes, property in your area could drop in price but it could also stay the same or go up, it’s hard to say.

Secondly you might not be able to get another mortgage on a new place so maybe it would be safer to hold onto what you’ve got - unless perhaps you’re confident that you can get another mortgage, except that you can’t be sure until you put it to the test and it would be a shame to find that you can’t or can only get extortionate terms. So, yes, this is difficult.

As you mention that there’s no buses then I assume that you probably don’t drive so how do you get to your mum’s at the moment? If you don’t drive then I suppose you just walk? If so then, yes, that’s a bit of an effort and 2 miles is a bit more than a handy distance and probably not very nice in the dark at night. If you don’t drive then, as the other poster suggests, how about a bicycle? And how about a moped, motorbike or car? Yes, cost and effort and got to learn and pass a test but would any of these be doable? Two miles is just a jiffy in a car so maybe that would solve the current situation. And if your mum’s up to it you could take her out for trips which would be nice.

Or how about renting out your place out and use the money to rent a place in your mum’s village? Or is there room in her place for you to come and stay? And if you did and rented out your place then you could offer her some rent which might be of use if she could do with some extra money. Of course maybe she doesn’t need any extra money.

A bit unlikely but is there anyone friendly with a big back garden who’d let you put a 3 bed static caravan in it? You can get them as cheap as £1k or £2k or £5k. Can get chilly in winter but you can insulate them and the recent builds don’t have the gas ventilation that lets in all the cold air and so they can be snug. If the neighbours and council are laid back then it might be doable. Of course a lot of neighbours and councils wouldn’t tolerate such a thing but if the garden is out of sight then it might not be noticed for a long time or even never. And if the person with the garden is on the council or knows some of the councillors they might be able to swing it for you if it comes to someone’s attention and they complain. Yes, like I said, a bit unlikely, but you might as well consider all possible notions in case one of them turns out to be a doable solution.

If you decide to stay at your current house and you don’t want to cycle or drive to get to your mum’s, then, another bit of a long shot, but perhaps it might be worth starting a car sharing and lets scheme by asking around in both villages and the other nearby ones to find out who’s regularly driving between the two as there’s probably various trades people and workers and people taking kids to school etc who pass through and back again every day so if you made yourself known to 10 or 20 of them then if they’re friendly they may be happy to pick you up at certain regular times or even any time any of them see you standing outside your house and your mum’s. And, of course, you could email, text or phone them to ask who’s passing through at the moment. Might be doable. Similarly if you went on all the dozens of car sharing sites and registered your needs you might find one or two local people who frequently pass by and would be happy to pick you up from time to time. Perhaps you could also offer something in return such as conversation, a cup of tea and some home made jam, some nice plants from your garden, a joke a day, or housesitting occasionally or babysitting for people who have kids or whatever you can do or have to offer.

Hope this helps, good luck.

planetcat

Thank you for such a well thought out and helpful reply mostlycheerful. There are some great ideas in your post!

jsh99

Would your mum moving to your village be an option?

Either by selling her house and buying near you (if her village is more sought after her house might sell quicker plus might be money left over)

Or by moving in with you?

lincroft1710

mostlycheerful wrote: »

A bit unlikely but is there anyone friendly with a big back garden who’d let you put a 3 bed static caravan in it? You can get them as cheap as £1k or £2k or £5k. Can get chilly in winter but you can insulate them and the recent builds don’t have the gas ventilation that lets in all the cold air and so they can be snug. If the neighbours and council are laid back then it might be doable. Of course a lot of neighbours and councils wouldn’t tolerate such a thing but if the garden is out of sight then it might not be noticed for a long time or even never. And if the person with the garden is on the council or knows some of the councillors they might be able to swing it for you if it comes to someone’s attention and they complain.

It is highly unlikely any council would be "laid back" about an unauthorised new dwelling, especially a caravan, especially in a village. Also there would be the problem of connecting the caravan to mains electric/water/sewerage.

planetcat

jsh99 wrote: »

Would your mum moving to your village be an option?

Either by selling her house and buying near you (if her village is more sought after her house might sell quicker plus might be money left over)

Or by moving in with you?

My mum lives in a council house and can't move nearer me as its a different local authority. Also, as she has lived there all her life she is very attached to the area which would make it hard for her to leave

molit

its a tricky one, but my thought would be to save the money and put it towards a car - you'll be able to transport your Mum as well