Can I sell my flat and go back to renting?
December 7, 2024 3:57 PM Subscribe
I bought a small studio flat in Farnborough three years ago and I'm starting to regret it. I like living alone, and my flat is right next to my office so I have no commute, but I really don't like living in Farnborough.
I moved here from Guildford which is very expensive but much nicer, and I miss being within walking distance of a nice town centre. I don't like to go out here because I find it depressing, so I end up staying home a lot more than I used to.
I also miss feeling like I can easily move anywhere I want. I've been looking for a new job and most of the jobs in my industry are in London. My flat is just about within commuting distance, but I'd much rather live in the city if I got one of those jobs, and there's no way I could afford to buy there. There are also exciting jobs in places like Bristol and Glasgow which I feel like I can't apply for because I'm stuck here. I know I could rent out my flat, but that sounds very stressful. Would it be crazy to sell my flat and go back to renting, at least temporarily?
I moved here from Guildford which is very expensive but much nicer, and I miss being within walking distance of a nice town centre. I don't like to go out here because I find it depressing, so I end up staying home a lot more than I used to.
I also miss feeling like I can easily move anywhere I want. I've been looking for a new job and most of the jobs in my industry are in London. My flat is just about within commuting distance, but I'd much rather live in the city if I got one of those jobs, and there's no way I could afford to buy there. There are also exciting jobs in places like Bristol and Glasgow which I feel like I can't apply for because I'm stuck here. I know I could rent out my flat, but that sounds very stressful. Would it be crazy to sell my flat and go back to renting, at least temporarily?
Best answer: Before you sell, consider whether you'll be able to afford an equivalent or nicer place down the track if you decide to buy another property later.
Definitely not crazy to sell and rent if that would give you a nicer, more fulfilling life. Just bear in mind that it may not be the best decision financially. But who knows, I can't predict the future and I definitely haven't a clue about the property market where you are.
posted by pianissimo at 6:27 PM on December 7, 2024
Definitely not crazy to sell and rent if that would give you a nicer, more fulfilling life. Just bear in mind that it may not be the best decision financially. But who knows, I can't predict the future and I definitely haven't a clue about the property market where you are.
posted by pianissimo at 6:27 PM on December 7, 2024
House prices on the south coast have fallen about 5% in the last couple of years, they may bounce back or they may keep falling, who knows. If you want to sell now you may have to accept a slight haircut on the price you originally paid.
Becoming a long distance landlord is not recommended, a friend of mine does that and he averages about 2,000 miles of travelling each year between England and Scotland sorting out the most trivial things.
Setting a low asking price so that you get competing bids is the quickest way to sell and achieve the real market value. Setting a high asking price and waiting years for a buyer prepared to pay that much will often result in making less money when you take inflation into account.
posted by Lanark at 4:38 AM on December 8, 2024
Becoming a long distance landlord is not recommended, a friend of mine does that and he averages about 2,000 miles of travelling each year between England and Scotland sorting out the most trivial things.
Setting a low asking price so that you get competing bids is the quickest way to sell and achieve the real market value. Setting a high asking price and waiting years for a buyer prepared to pay that much will often result in making less money when you take inflation into account.
posted by Lanark at 4:38 AM on December 8, 2024
Best answer: Bear in mind when considering your options, that you could pay a company to manage it for you as a letted flat. I have friends that do this, and although they pay a cut to the property managers, they do very little hands on themselves, and they’re still getting their mortgage paid on the property and building up an investment.
I live in a city, so YMMV as to how many such companies there are in your area, and whether they think your flat would be lettable enough to bother, but might be worth a go for a while, at least, before you cut loose the investment entirely.
It’s quite possible that in a decade’s time you will feel like settling somewhere, and having that equity behind you will make a huge difference to the rest of your life. I bought my first property in my mid-30s and the difference is obvious between what I can afford, and what my friends who bought earlier can afford (It’s fine - I was off having adventures around the world and wouldn’t have wanted to be tied down earlier, but I really didn’t realise until later in life that buying later would cast such a long shadow.)
posted by penguin pie at 5:29 AM on December 8, 2024 [5 favorites]
I live in a city, so YMMV as to how many such companies there are in your area, and whether they think your flat would be lettable enough to bother, but might be worth a go for a while, at least, before you cut loose the investment entirely.
It’s quite possible that in a decade’s time you will feel like settling somewhere, and having that equity behind you will make a huge difference to the rest of your life. I bought my first property in my mid-30s and the difference is obvious between what I can afford, and what my friends who bought earlier can afford (It’s fine - I was off having adventures around the world and wouldn’t have wanted to be tied down earlier, but I really didn’t realise until later in life that buying later would cast such a long shadow.)
posted by penguin pie at 5:29 AM on December 8, 2024 [5 favorites]
2nd g penguin pie. I‘ve been a long distance landlord for 14 years and I use a letting agency and all I have to do is read and respond to emails about renewals and occasionally repairs. So run some numbers and see if that’s a viable option for you.
posted by koahiatamadl at 7:16 AM on December 8, 2024
posted by koahiatamadl at 7:16 AM on December 8, 2024
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I own right now, but will probably be selling next year and going back to renting when I move again.
posted by Art_Pot at 4:18 PM on December 7, 2024