Lost my job, should I sell my Kent house and buy a smaller London flat?

Debbyc

Hello
I have read some comments but each case is unique.
I lost my job three months ago and fast running out of savings.

I get ESA but it does not cover my expenses. I get regular sick notes and they have not replied me with how long this must continue, or a date for any assessment. I would like to eventually return part time.

Now, my biggest problem is that four years ago, I moved to Kent for my job (as we had to live within a specific radius), and paid off my mortgage and loved the peaceful environment. However, now maintaining a three bed house is expensive without a job, more so I am mostly alone in one room.

In my desperation for income, I considered moving out to a small flat and getting a buy to let mortgage on this house but with no job this may be difficult.

I then thought of selling this house and moving back to Brockley South East London where I came from. There properties have almost doubled in value while here, there is no appreciation; so I cannot even return there without a huge mortgage, which no one will give now and I can do without. The house I sold for £290k is now valued at about £560k and the one I bought for £220k in Kent sits at abt £240k. I have cried but that is not the solution to what I now know was foolish.

So I have now moved out of the London market and to get in on cash buy I will probably need to buy only a studio.

My key concern is my ability to cope now and also future value of anywhere I own , for later years. As I have learnt a big lesson. Also it is easier to get a job in London.

Please has anyone experienced this and what can I do?

Pixie5740

Without a job you're not going to be able to get a mortgage so that's going to limit what you can afford if you decide to sell up and move back to London.

Can you commute to London from your current home?

Have you considered getting a couple of lodgers in to boost your income whilst you look for a job?

duchy

Most of Kent is commutable (and Kings Ferry etc run commuter coach services that are much cheaper than train). I'd find a job first and then depending on where the job is decide if moving is still viable or needed.

As without a job you won't get a mortgage I think you are putting the cart before the horse at the moment.

Running_Horse

Having moved from London to Kent for my job, I would stay put. You are mortgage free and can work for less money than most. Think about lodgers, or if you live somewhere remote even renting out and renting yourself somewhere dirt cheap near good transport links or jobs.

Anything could happen with prices, but I suspect you have missed that boat. London prices cannot boom forever, and there would be a risk of buying in a stagnating market just as your old place shoots through the roof. Explore every option to hold onto your current home and rebuild for the future.

brenda10

Running_Horse wrote: »

Having moved from London to Kent for my job, I would stay put. You are mortgage free and can work for less money than most. Think about lodgers, or if you live somewhere remote even renting out and renting yourself somewhere dirt cheap near good transport links or jobs.

Anything could happen with prices, but I suspect you have missed that boat. London prices cannot boom forever, and there would be a risk of buying in a stagnating market just as your old place shoots through the roof. Explore every option to hold onto your current home and rebuild for the future.

Good health to you Debbie C and I hope everything turns out good for you.

Debbyc

Thank you everyone. I feel better for your advice and kind wishes.

zizu73

OP, you were not foolish. It's just pure luck, or as in your case, bad luck, in regards to the timing of selling and buying a property. Nobody has a crystal ball to see the future. Don't blame yourself for this. I think a lodger or 2 might be your option as mentioned but understand maybe not ideal. Whatever you do, good luck!

Annie1960

I'm with those who say hang on and take in a lodger until you get another job. But check first whether this would affect your entitlement to ESA.

olias

What maintenance issues have occurred in 3 months that have confined you to one room of your house? I'm really curious.........

Olias

SuzieSue

olias wrote: »

What maintenance issues have occurred in 3 months that have confined you to one room of your house? I'm really curious.........

Olias

I assume the OP means heating the property.

SailorSam

SuzieSue wrote: »

I assume the OP means heating the property.

I'm on my own in a bigger than average 3bed house and heating is just a case of closing doors of the rooms i don't use.
Thousands do manage on Esa although you may have to cut down on some of the things you'd like, especially as you're mortgage free and you like where you live i think moving back to London with a big debt is a bad idea.
I don't like the idea of renting out a room but i thinki would rather than move, and try and find a lower paid job than London has to offer but without the extra housing cost.