Can't sell ,or move, advice on rented it out

clifden74

Have a mid tearrace property .
valued at
£115 ,000
outstanding mortgage
£34,000

being on the market two years getting no where with it
market flat as in this area
speaking to a mate at work and he put the idea forward of renting the place out .
(should explain that the reasion for moving is that we have had a new baby and along with his brother and sister mum and dad we need more space .)
I am not too sure about how this all works .
I assume it would be something along the lines of taken some of the equidy out of the property and use that as a deposit for a new place and get some tenants in till the market picks up and we sell or win the lottery
any advice insight or general moral bust would be much welcome
cheers


any advice would be much appreciated

19lottie82

If its been on the market for 2 years, then it's over priced.

You COULD rent it out, but this can often be more hassle that it's worth. Do you know what being a landlord involves? Including the details of all the legalities? Could you afford to pay two mortgages if your tenant didn't pay the rent?

Personally, my advice would be, drop the price and sell the property.

clifden74

thanks for that .
the valuation isn't the asking price its 20% lower
the issue seems to be lots of interest from first time buyers but they can't get the deposit mortage sorted .
now at a level where going lower causes problems with affordding a new place as for the LL concept really not something io have any wish to do but if needs must we can all learn to do something new .
cheers again

19lottie82

What have similar properties in the same area sold for recently?

clifden74

nothing really in our price range .
properties in £275,000 plus group come on and go off the market in 6 weeks max . but the numbers are low .
as for the entry level stuff its stagnant.

G_M

clifden74 wrote: »

Have a mid tearrace property .
valued at
£115 ,000
outstanding mortgage
£34,000
vanued by who? When?
Clearly it is not an accurat value or it would have sold!
being on the market two years getting no where with it
market flat as in this area


speaking to a mate at work and he put the idea forward of renting the place out .
...I am not too sure about how this all works .
Read this post here

any advice would be much appreciated

My advice would be to drop the price from £115 to £105K or even less.

It's not as if you are in negative equity. It's over-priced, and gambling that house prices will rise is... gambling.

clifden74

thanks for that G_M .
the value was via the home report system so was independant .
as mentioned in post three the property is on the market 20% below the market valuation .
cheers

Werdnal

Is it on Rightmove? No obligation, but would you care to share the link so members can give opinions on why its not selling?

If you do, be prepared to take the rough with the smooth comments wise, but an impartial view is sometimes helpful in pointing out things you may take for granted, but might not be helping your sale.

G_M

clifden74 wrote: »

thanks for that G_M .
the value was via the home report system so was independant .
as mentioned in post three the property is on the market 20% below the market valuation .
cheers

You didn't answer "when?" 2 years ago!!!??

Even if more recent, makes no odds. A valuation is only as good a guess as the guy making it. And the true value is not known till it sells.

If it doesn't sell, it's over-valued.
Drop the price again.

If you DO decide to rent, read this.

brit1234

clifden74 wrote: »

the issue seems to be lots of interest from first time buyers but they can't get the deposit mortage sorted .

That alone would suggest it is overpriced for the category of buyer at these mortgage conditions, things are only going to get worse with the Euro crisis.

Any house will sell if priced rightly, I would guess yours is overpriced.

clifden74

Thanks for all your input.
the issue as i am sure everyone will be aware of is that there seems to be a gulf opening between the entry level position (first time buyers ) and the middle of the market .
so to say drop the price is good advice if the whole market is reducing in price but where i am i don't see that happening .
the properties in the mid to upper level of market are trading between themselves with no new blood coming in from the entry level ( second steppers i heard it called )
as for the euro you are proabley correct it will have a negative effect on the market
again thanks for all your thoughts