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Would you sell right now in my situation?

Hi Everyone, I would like to ask for your input. We have bought a flat 2 years ago in SE London and considering to move to Surrey. We got our flat valued and according to the estate agents, we could sell it for a bit more than we bought it for. 

If we move, we would potentially buy a house and would need to get an extra £30k mortgage on top of our existing one. Our current fixed rate mortgage would be ported. My question is, is this the right time to sell? Even though it was valued for more, perhaps we could get even more if we waited? But then I guess the houses in the area we are looking could get more expensive too?

The other worry I have is that if we buy a more expensive property and if the interest rates won’t go down by 2026, we may be in a difficult position.


Comments

  • propertyrental
    propertyrental Forumite Posts: 1,676
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    If prices rise, you'll get more for your flat, but pay more for the new house.
    If prices fall, you'll get less for your flat, but pay less for the new house.

    But as you are 'upsizing' the latter is likely to be more to your advantage. A 10% (say) fall in your flat value will be out-weighed by a 10% value in the price a new house.

    But that does not  take account of lifestyle. A property is not just an investment (usually) - it's a home, and in the longer term the investment value is (hopefully) out-weighed by the benefits of the right lifestyle.

  • lookstraightahead
    lookstraightahead Forumite Posts: 5,468
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    Whatever you do you can't leave interest rate rises to chance, you need to include them in your figures.
  • MultiFuelBurner
    MultiFuelBurner Forumite Posts: 1,303
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    Addison89 said:
    Hi Everyone, I would like to ask for your input. We have bought a flat 2 years ago in SE London and considering to move to Surrey. We got our flat valued and according to the estate agents, we could sell it for a bit more than we bought it for. 

    If we move, we would potentially buy a house and would need to get an extra £30k mortgage on top of our existing one. Our current fixed rate mortgage would be ported. My question is, is this the right time to sell? Even though it was valued for more, perhaps we could get even more if we waited? But then I guess the houses in the area we are looking could get more expensive too?

    The other worry I have is that if we buy a more expensive property and if the interest rates won’t go down by 2026, we may be in a difficult position.



    This is where you are gambling and creating undue stress in your lives until 2026.

    We too (hope) that interest rates reduce somewhat by 2026 when our fix rate ends but realistically we have sat down and calculated all the way up to 7%

    On a personal note I believe interest will be in the 4% range then but no one can say for definite.
  • gwynlas
    gwynlas Forumite Posts: 1,423
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    If you are at the stage where you are ready to move on then you should do so.

    Nobody can accurately predict what will happen re the financial market nor your personal circumstances.

    Liife is to be lived so move forward.
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