To consider selling my house and renting instead

[90sfilmsforever]

I've had a rough few years and I'm struggling to stay afloat financially as a single parent. Today I found out that my megalomanic boss isn't making my fixed term contract permanent, even though this was promised previously and I have worked my arse off to prove myself and had nothing but glowing feedback from my line manager.

I own my house with no mortgage but a small family loan on it that I pay back monthly. I've had a catalogue of disasters with plumbing and other house stuff in recent months that means I can't even afford to replace my only work shoes that fell apart two months ago. Since then I've been wearing a pair borrowed from my eldest that are too big for me. With necessary house repairs, a car disaster as well and the cost of living sky rocketing I've been in my overdraft for a good week before getting paid for the last few months, despite being in a professional salaried job. And now I find I'm going to be unemployed in less than 3 months.

I have no buffer or savings anymore due to afore mentioned disasters. There are no jobs in my field at the moment as due to the nature of my work they mainly come up at certain points in a year. I've been looking - just in case- since September and there have been two jobs. One I applied for and they withdrew due to covering the vacancy in house in the end. The other I applied for and heard nothing despite me always usually gaining an interview as my application is strong and I have lots of experience.

Would I be mad to sell up and rent to give me some breathing space, better job prospects than a small dead end town? I'd happily sell and relocate somewhere cheaper to buy but my daughter has to be within commuting distance of her dad and everywhere around here (south east) is so expensive to buy. Plus I'd have to pay back the family loan if I sold so that's already £50k I'm down. I have no real friends or ties where I am and we are both miserable. I love my little house but hate the town and the lack of prospects. Is it such a mad idea? In a few years my daughter will be at uni or old enough to decide where she lives irrespective of where her dad lives, so I/we could potentially relocate to a cheaper area then and still buy mortgage free with what's left, or with a better job I could get a mortgage in this area in the future. Am I mad??

There would likely be part time jobs you could get where you could work from home - remote tutoring, editing dissertations for non English speaking students, remote admin/PA type work etc. Likely the best bet to tide you over until a job comes around.

It's now in perfect condition after plumbing/drain disaster repairs. This is what has put me in such a precarious financial position... paying for the repairs.

My friend does supply and has worked no more than two days a week since September... usually less, despite being available everyday with hood transport and is child free so never needs to organise last minute childcare, school runs etc. He's being paid on the equivalent day rate of a NQT despite being a previous leadership scale teacher.

Am I mad??

Yes. Don't do it. Sit down with someone more rational than you and go over your other options - a bank manager would be a good place to start, perhaps.

It's now in perfect condition after plumbing/drain disaster repairs. This is what has put me in such a precarious financial position... paying for the repairs.

Even more stupid to sell it now and rent.

Renting is ok up to a point

What happens if you get a No Fault Eviction?

If I was in the same position as you, I would stay in the house but consider other options 👍

no - do not sell. do anyhthing in your power tokeep it!

be mad to get off the property market and rent. The people in the same street as me pay 3x what i pay for my mortgage on their rent!!
and they will never own it!

you will not get any housing benefit help either as you have capital

Are you eligible for tax credits? Also you could do some extra work like a bar job, sell stuff on vinted.

I would stretch overdraft as far as you can tbh & look at paying back once DD is older.

I think you should also contact union about losing your job.

OP you're being given some really useful suggestions
Tutoring
WFH jobs
Supermarket jobs
Get some debt support
Get a benefits check
Ring round suppliers to see if they can help.

Just breathe and try to take some of this in. You're quite fixated on just doing teaching/supply. You will have lots xx of transferable skills, that will tied help find something until you can by in a cheaper area.

In your situation, not mad at all.

What are the repairs that need doing to the house?

Your energy bills are ridiculously high for a two bed terrace where all the occupants are out during school hours. Do you have heating and hot water on permanently? Or has the energy company set the DD wrong (ie are you massively in credit?) Or are you servicing debt on the account?

It sounds like you have had a horrendous time, but it also sounds like you've spent a lot of money on eg kitchen and bathroom, and I think you need to be really honest with yourself about how good you are at making financial decisions. I think you are currently being beguiled by the fantasy of free money being liberated from the equity on your house but it's unrealistic. You would be giving up your stability and the house you've made perfect. It could take a year to realise the money and you definitely won't get back what you've spent doing improvements. You probably won't sell at all without doing whatever the repairs are and you'll have a horrid time getting a rental property with no guarantee you could stay beyond 12 months. You WOULD spend money getting set up in the new place and every monthly payment would be money down the drain.

Sorry about the typos

Avoid becoming a renter if you can. I pay extortionate amounts to live in a mould-filled house while unable to get on the property ladder despite dual income
(both in professional careers). It’s dire. I know your situation is really challenging but I don’t think renting is the solution.

The cost of living is the same without you owning a house. Check out rents but make sure you're sitting down.

As per pp, what's with the £350 a month energy bill on a 2 up 2 down terrace?

A lodger is definitely out of the question due to the house (no spare room/ not fair on DD to make her share with me as her room is her sanctuary) I'd sleep on the sofa if needed but our front door opens straight into the lounge so not ideal with a lodger and DD wouldn't cope with a stranger in the house. I'm really not trying to be negative, I just didn't expect such a massive landslide against selling and that was the only light I could see at the end of the tunnel.

Bad idea, especially as it sounds like you'd be doing it with the intention to move to a more expensive area. That means that - aside from potential house price increases - you would be eating into your capital and therefore less able to afford another house in future. I would sleep in the living room and get a lodger or let the house and rent a 1 bed flat (sleeping in living room again). It sounds like you could get another job soon so it would be temporary.

If your credits bad would you even pass credit check to rent?

In the South East, say for example NW Kent a 2 bed flat could cost £900 pcm. Plus you need a deposit, so surely you can’t afford to rent. I wonder where you are because in the South East schools have massive recruitment problems and struggle to get decent supply teachers.

my best friend could have written this post around a year ago she did sell up moved somewhere cheaper Again mortgage free with some money in the bank found a new job that she lovesand he’s living her best life

Would you be comfortable sharing some figures? Someone may be able to see where you could cut back? Im thinking the loan repayment must be very large each month?

This house is so small that a lodger cant fit in it but it has the fuel bills of a detached 5 bed

Don't do it
The rental
Market is insane at the moment
Landlords can pick and choose , they have a full schedule of viewings lined up within minutes of the house going on the market.
They will absolutely choose someone with good and on going employment references, regardless of your bank balance.
Keep the house, get whatever employment you can , hospitality is crying out for staff and with tips you won't be far off your normal wage ( which is a travesty but for another thread ) with a few hours tutoring as well you should get by.

Re counselling. Do you have a local branch of Mind (the MH charity)? I don’t mean the shops but rather a local hub? They often have students doing placement hours for their BACP accreditation as counsellors and offer low cost or free counselling. This is worth a try if you’re finding the waitlists long and private counselling too expensive. Similarly if there is a reputable BACP approved training establishment near you it would be worth asking them if they offer low cost or free counselling with their students. Just a thought.

tenants would ruin it

Don’t forget this is exactly the attitude you will be up against if you sell up and rent. Do you want to spend the next few years, or longer, living with whatever crap LLs think that you won’t ruin, carpets that look like someone has died on them, never being able to make your home properly nice? I think renting would be a nasty shock for you.

So no, for that reason and that renting is expensive and dead money, don’t sell up unless you have plans to buy elsewhere or unless financially there is absolutely no other choice.

Renting your house out and renting somewhere where housing is cheaper might help you make a fresh start without committing too early to an area you don’t know. But don’t get off the property ladder.

There must be a way of reducing that bill, we're in a 4 bed semi with no floors currently and our gas and electric was half that this month!