Sell your house and move into rental - then buy new house - how does it work?

comeandgo

Yes, we did it.  It was no problem and the interest from our money paid the rent and no mortgage to,pay so was able to save a bit.  We moved into furnished property and just put our furnishings in storage so not having to move the larger items twice.  Again, the interest was able to pay fr storage.

youth_leader

I was going to sell at auction and moved into a rental the month before.  I was rejected for the first rental I went for because my income wasn't 30 x the rent - my savings didn't count at all. 

I didn't enjoy my time in the rental because of the four monthly 'checks' - as it was lockdown I had to video myself pressing the smoke alarm etc to prove they worked.   When I bought this bungalow, and asked to give my notice, the agency asked me to show prospective tenants around - luckily they accepted the first people that came.

Scotbot

comeandgo said:

Yes, we did it.  It was no problem and the interest from our money paid the rent and no mortgage to,pay so was able to save a bit.  We moved into furnished property and just put our furnishings in storage so not having to move the larger items twice.  Again, the interest was able to pay fr storage.

I have done it previously but not this time as I am mortgage free. I calculate I would spend around 12 to18k to rent depending on how long it took me to find somewhere. There is no way current interest rates would pay me that on the equity once tax is taken into account 

SiliconChip

I did it between selling my last house in 2014 and buying the one I'm in now 15 months later. The biggest difficulty was finding a rental property that was available for entry at the same time as completion on the sale, as it happens I had to spend a few days in temporary accommodation before I was able to move into the rental. I'd imagine this will be even more difficult now given how squeezed the supply of rental properties has become.