To sell or not to sell!

Chemistry777

You also need to consider property prices, dependant on your location and house type, you may not be able to sell it for what you paid, as property prices have been largely static as best over the last 2 years.

Some commentators predict that prices may fall further, so if you keep hold of your property you may not be building the equity suggested by some on this thread.  If prices did fall, getting out now, saving a better deposit and buying (a hopefully cheaper property in the future my work).

Problem is, no one really knows what will happen with the market.

ReadySteadyPop

horsewithnoname said:

ReadySteadyPop said: lol

HillStreetBlues said:

Also worth thinking about is the £500 savings. Can you be certain that it would be put aside?

Having the option to set it aside is always nice.

I sometimes struggled to buy my home, but if I hadn’t I couldn’t afford to rent it with the amount that rents have gone up, and I’d certainly never be able to afford to retire if I hadn’t bought my home. I’m not saying there aren’t any circumstances where renting is a good idea, but overall, owning your own home is the key to freedom, and the best decision I ever made. 

In this case the rent is £500 cheaper than the mortgage though. Not sure about the "freedom" bit nowadays, people are locked into mortgage deals as long as 30 years at higher interest rates, when did you buy your house?

ReadySteadyPop

Schwarzwald said:

Jemma01 said:

Well the difference is that the rent you'll pay is going to someone else's mortgage, and you'll have no return on that investment. In contrast, the mortgage you're paying (assuming it is a capital payment) puts your money into your house that you can later sell and benefit from (hopefully increased in price).

the common misconception.
You free up your deposit plus you aparrently save on costs so your return is right there in front of you.
if that return is better than owning equity in a UK property is a whole different question.
But above general statement is just plain incorrect and misleading.

VERY misleading, and unfortunately often trotted out on forums as if it was a confirmed law of economics.

ReadySteadyPop

Chemistry777 said:

You also need to consider property prices, dependant on your location and house type, you may not be able to sell it for what you paid, as property prices have been largely static as best over the last 2 years.

Some commentators predict that prices may fall further, so if you keep hold of your property you may not be building the equity suggested by some on this thread.  If prices did fall, getting out now, saving a better deposit and buying (a hopefully cheaper property in the future my work).

Problem is, no one really knows what will happen with the market.

I think with interest rate rises that is quite likely.