Should we sell, rent for year then buy again?

backtomum

nollag2006 wrote: »

Don't believe everything you read in the Daily (Hate) Mail.

Actually I don't read the Daily Mail. I work for the local council and am perfectly aware who is bidding and being successfully allocated property and believe me it isn't working British families!!!!! And before you call me a racist - I am not and never will be - I am just stating the truth of the matter - freedom of speech doesn't exist in this country!!!:mad:

LouBlue

nollag2006 wrote: »

Seems like an awfully big gamble to literally bet your home on a hope and a prayer that house prices will fall substantially.

What do you think with our situation? As said previously, with my situation, We are going to sell around March time, to pay off our substantial debts with the equity, then rent for a year (somewhere that the rent is the same as the mortgage we are paying now) and save up for a deposit on a house with the extra money coming in. As I said before, if we stay put, it will take us forever to pay off the debts, let alone save up for a deposit.

carolt

Where are you, nollag2006? You seem to be in a similar neck of the woods to us, but in a parallel universe - houses DID power away earlier this year, and no 3 bed houses could be had under 300K for a brief interval around March-Aug. But over the last couple of months, a large number of houses in the 250-300K band have slowly been creeping back - have a look for 3 bed houses in St A on Rightmove if you don't believe me.

Also, despite the fact I've not been phoning any estate agents, they have started not so much returning my calls as ringing me up out of the blue to see if I'm still interested - and don't seem terribly surprised when I tell them I don't think current market conditions make it great to be a FTB....

Jonbvn

chriseast wrote: »

That's up to you, though as I am not in habit of lying I'd prefer you to reach your opinions based on proper research, rather than a few minutes flicking through a website.

From the additional details you have provided in the other post, it would seem that you have rented a listed property that is far removed from what one could expect for an "average" 400k property.

Therefore, it is very clear that your own situation is hardly representative, and as such should never be used as the basis for discussing in general terms the pros and cons of STR.

nollag2006

carolt wrote: »

Where are you, nollag2006? You seem to be in a similar neck of the woods to us, but in a parallel universe - houses DID power away earlier this year, and no 3 bed houses could be had under 300K for a brief interval around March-Aug. But over the last couple of months, a large number of houses in the 250-300K band have slowly been creeping back - have a look for 3 bed houses in St A on Rightmove if you don't believe me.

Also, despite the fact I've not been phoning any estate agents, they have started not so much returning my calls as ringing me up out of the blue to see if I'm still interested - and don't seem terribly surprised when I tell them I don't think current market conditions make it great to be a FTB....

Have a look on the BBC website property section, and tap in your post code.

Here are the details for St. Albans...

St Albans
Average Cost: £398,185
Detached: £670,510
Semi-detached: £390,764
Terraced: £314,420
Flat: £216,738


Change in last quarter: 10.8%

Change in last year: 13.6%

Sales: 895



Sorry to shatter your illusions with some good old facts, rather than a few anecdotes and isolated examples from an EA's webiste...

:rotfl:

Good news all round though to see that proces are still forging ahead, and with the BoE set to cut interest rates in the New Yr, things can only get better !!

:T

baby_boomer

chriseast wrote: »

I am now paying £900 a month for a house worth £400000

Where's that Chris? I thought I was doing well 2 years ago with £975 rent for a £350K house. (But it was the family home, which she wanted to keep, and she had moved in with a local bishop .)

It's not the sort of buy-to-let yield (2.7%) buyers are led to expect :eek: Why would you let your house out for such a pittance when you are also responsible for the buildings insurance and upkeep?

Much better to sell and invest in the Derbyshire 6.9% 1 year Fixed Rate Bond.

stats_2

nollag2006 wrote: »

Have a look on the BBC website property section, and tap in your post code.

Here are the details for St. Albans...

St Albans
Average Cost: £398,185
Detached: £670,510
Semi-detached: £390,764
Terraced: £314,420
Flat: £216,738


Change in last quarter: 10.8%

Change in last year: 13.6%

Sales: 895



Sorry to shatter your illusions with some good old facts, rather than a few anecdotes and isolated examples from an EA's webiste...

:rotfl:

Good news all round though to see that proces are still forging ahead, and with the BoE set to cut interest rates in the New Yr, things can only get better !!

:T

What makes you believe that HPI is in your favour?

Dead_Eye_Jones

baby_boomer wrote: »

Much better to sell and invest in the Derbyshire 6.9% 1 year Fixed Rate Bond.

That really depends how much equity they have. Gearing roxs!

baby_boomer

Dead_Eye_Jones wrote: »

Gearing roxs!

And it sucks in a declining market.

The OP's policy is worth considering IMHO for a £180K house in today's markets where declines over two years are predicted in the Midlands, for instance.

If your house is worth more than £250K and you intend to buy a house at more than £250k then Gordon's stupid 3% stamp duty interferes with the workings of the free market and probably tips the balance against you.