Advice please - £105k with deposit paid or offers over £95k...

HAMISH_MCTAVISH

GDB2222 wrote: »

It's far, far harder to sell a property with a tenant in.

Sorry, you miss the point.

I wouldn't sell at all, at least, not for several years until the mortgage market (and then the housing market) recovers.

The_Drama_Llama

You can't just 'rent out your house' though. First you need permission from your lender, then you need insurance, gas safety certificates etc. There's a lot more to being a landlord than just leaving it all to a letting agent. Actually, that's probably the worst thing you can do: most LAs know little Landlord Tenant law, and if anything goes wrong the landlord, not the LA, is ultimately responsible.

blt

Thanks for all your comments guys...

When I originally left the house I did let it out as I wanted to make sure I had somewhere to go if the relationship didn't work out! It did and now we're married.

The family I let it too left the house in such a mess though, I don't know if I could bear it again. We didn't return their deposit but that didn't even begin to cover the costs I incurred. So, when they left we tidied it all back up and put it on the market.

Now we are facing a situation where we're considering letting it out - even though I really don't want to (money is money!) I spoke to a few letting agents but TBH don't know how they have the cheek to charge anything! I asked them what happened if the tenant didn't pay and they said that would be for me to pursue. Basically they would check the property every 6 months and find a tenant - all for 10% plus VAT of the rent. So about £65 per month! Cheeky swines.

I thought that by dropping the price I'd achieve a quick sale so I've come unstuck really. A quick sale is important but I can't afford to take any less than £98k or I'll be in negative equity. The EA doesn't help at all.

I thought also about getting it on with another EA - do you think that will help? The existing one have had 'their' contracted 4 months....

Sorry for all the questions but I get better advice on here!

HAMISH_MCTAVISH

blt wrote: »

T
Now we are facing a situation where we're considering letting it out - even though I really don't want to (money is money!)

I thought that by dropping the price I'd achieve a quick sale so I've come unstuck really. A quick sale is important but I can't afford to take any less than £98k or I'll be in negative equity.

You can't afford to drop the price any more, so you really only have two choices.

Let it out and get it paying for itself.

Or leave it on the market empty and costing you money.

I'd get it let asap if I were you and get some money coming in!!! Then sell when the market picks up in a year or two, or even better, never sell and let someone else buy you a house.

blt

Thanks for your help

I think I'll start having a look at how much things are renting out at and give it just a few more weeks. Gutted

I suppose if I do switch it to BTL, I can still buy another house in the future though? Although I can't see us wanting to borrow more money from banks any time soon!

GDB2222

HAMISH_MCTAVISH wrote: »

You can't afford to drop the price any more, so you really only have two choices.

Let it out and get it paying for itself.

Or leave it on the market empty and costing you money.

I'd get it let asap if I were you and get some money coming in!!! Then sell when the market picks up in a year or two, or even better, never sell and let someone else buy you a house.

Bear in mind that Hamish is an inveterate property optimist. He also appears to have no experience of the realities of being a landlord. Of course, he may be right and property prices may go up again. Or he may not be ...

blt

I've just been looking at rental prices and they aren't great - certainly not even enough to cover the mortgage let alone any other costs like checks, insurance etc.

Going to persevere with selling for the time being. Fingers crossed.

Thanks for all your help

brit1234

Renting is a bad choice, you will have to got to a higher cost mortgage even before interest rates go up.

While your renting the house price will drop well below what you want to sell it for and may take years even a decade to recover.

Also rents are falling due to over supply due to other people doing the same, rents down 2 months in a row.

http://www.bloomberg.com/news/2011-02-18/u-k-home-rents-fall-for-second-month-as-supply-surges-lsl-property-says.html

To get the best price available you need to sell ASAP as the longer you hold out the bigger the national prices falls will be.

geoffky

HAMISH_MCTAVISH wrote: »

You can't afford to drop the price any more, so you really only have two choices.

Then sell when the market picks up in a year or two,

:rotfl::rotfl::rotfl:


You really believe that? this market is on a one way bet for the next few years after the falls since 2007 in a lot of areas...and its not up...