Flat or house? farther or closer?

fred_88

I am in between either buying a semi/terraced house in areas like Witney/Carterton/Banbury in Oxfordshire, or to go for a loft or flat in an apartment with a small number of flats closer to Oxford.  My plan is to stay for 2 years and I am not sure where my next destination would be. It is also possible (depending on job situation) that I would stay in Oxford.
Of course, going for a house, I would not afford to be in Oxford but the surrounding areas I mentioned before, which I do not mind myself, but it would be a matter of re-selling or renting it out later (I would feel ok just to know I wouldn't be stuck with no buy/rent offer later when I want to sell/rent it out). 
Considering those circumstances what would you suggest to go for? a flat or a house?

RelievedSheff

My personal choice would always be a house.

But only you can decide what is right for you.

pennyalb

Depends on your lifestyle, I'd say. If you'd be going into town a lot either for your job or for spending your free time, it's better to stay in a flat closer to town. Transport costs can otherwise really add up, plus the time spent commuting would be just wasted time that you're not getting back. 

fred_88

pennyalb said:

Depends on your lifestyle, I'd say. If you'd be going into town a lot either for your job or for spending your free time, it's better to stay in a flat closer to town. Transport costs can otherwise really add up, plus the time spent commuting would be just wasted time that you're not getting back. 

Commuting wouldn't be a problem in my case as I am working remotely now and later it is also 40 min drive.
My only concern is whether reselling or renting it out later would be a disastrous situation (no idea where to find these info)

Greymug

fred_88 said:

I am in between either buying a semi/terraced house in areas like Witney/Carterton/Banbury in Oxfordshire, or to go for a loft or flat in an apartment with a small number of flats closer to Oxford.  My plan is to stay for 2 years and I am not sure where my next destination would be. It is also possible (depending on job situation) that I would stay in Oxford.
Of course, going for a house, I would not afford to be in Oxford but the surrounding areas I mentioned before, which I do not mind myself, but it would be a matter of re-selling or renting it out later (I would feel ok just to know I wouldn't be stuck with no buy/rent offer later when I want to sell/rent it out). 
Considering those circumstances what would you suggest to go for? a flat or a house?

you should just flip a coin. make it exciting.

pretamang

Have a read up on leasehold vs freehold.

With a flat are you prepared to be part of the leasehold/freehold situation dealing with a separate management company or co-managing with others in the building, depending on the ownership structure. There is added maintenance to consider as it's a bigger building (plus communal areas and lifts etc.) then possible service charges.

With a freehold house you have more freedom to make your own decisions with maintenance, but then are you ready to take  on the potential expense and upkeep yourself?

I lived in a flat first due to location, luckily got on well with the other freeholders who were all landlords and took maintenance seriously with preferred and trusted tradesmen and sinking fund in place. However their tenants weren't always the most considerate to live above/below. Not all leaseholds run as smoothly.

Now in a house I would never go back to a flat, and would have moved into a house sooner if I could have afforded to.

lookstraightahead

If it's only for two years, I wouldn't buy at all at the moment. Unless you have experience becoming a landlord is a lot of responsibility, and selling in two years gives you no time to invest.

Davesnave

Oxford an its hinterland isn't the kind of area that's likely to see demand slacken greatly, whether for sales or rentals, but it's not possible to be confident about recouping investment in a time frame of 2 years. The full implications of becoming a distant landlord also need to be fully explored before placing that in a list of acceptable options for the future.

Jeepers_Creepers

Hi Fred.

I cannot comment on the area you are referring to, but it probably doesn't actually matter that much where it is.

Your two options will cost around the same amount to buy? In which case they will also be worth pretty much the same in 2 years time; one shouldn't be a 'disaster' any more than the other. They are valued according to their demand, and that is unlikely to change in any significant way.

Although... the past year has seemingly seen a much stronger demand for properties with a personal outdoor space, however small. And, should it be that the occupant wants to work from home for any amount of time, which type of property is more likely to be able to provide the more attractive option here, the semi/terrace which will share only one party wall with neighbouring properties and will hopefully have even a small courtyard to sit out in and catch some rays between work tasks, or the flat'loft which will likely be neither of these things?

And then there's the far less complex situation of owning your own freehold; it's just usually better to be able to make your own decisions on upkeep, and likely to be less restrictive in many other ways too - you want laminate flooring? Go for it. Wanna fit a solid fuel stove? Likely ditto.

I know what I would do every single time.

The only solid reason I can think of to consider the flat is if it best suits your lifestyle.

thegentleway

Having lived in both, I would always pick a house over a flat for living in personally. I don’t think I would buy with two years horizon. Selling house within two years normally costs you more than renting.
If you’re planning to rent it out afterwards, you need to do your research. At the very minimum work out how much each one could be rented for and what the demand is like.