Sell house then rent to become a FTB

jimc_2

laurence2163 wrote: »

I just want to be in a position to capitalise on this (based on my assumption of a fall in prices which you may/may not totally agree with).

I agree it is a risk, but I feel the odds are in my favour.

Hi Laurence. Glad to be useful. Just to elaborate on the 'fall in prices', my point is that all opinions are exactly that; just opinions and worth no more than anyone else's. You certainly sound as if you are in a position to take advantage and the best of luck to you!

I just think that others are not going to be so lucky. I personally know couples who sold up a year ago to rent and now see their house on the market for MORE than they sold it for (and their own rent rising so they have to move to a cheaper property to make sense of it all.) The trick is to sell at the peak in your area. Too soon and you lose potential gains; too late and the market is running away from you. Your decision to capitalise on HISTORIC gains is sensible.

The enthusiasm of the 'housepricecrashers' needs some balance. You sound as if you've got it right.

For others out there, there's an interesting comment on another blog at:http://www.theRatandMouse.co.uk/weblog/archives/2008/02/selltorent_maki.html

Tassotti

Hi Laurence

Another consideration is costs..ie selling costs, renting costs and purchasing costs.

Is the area you are interested in more expensive than where you currently are?

I think if you are looking to eventually upgrade to a better property, better area, etc, you may be in danger.

eg...you sell, then rent for a while, prices remain static and out of your reach...you are then stuck with either renting or purchasing something you are not entirely happy with..

Food for thought

Tass