Is it better to keep paying mortgage or start renting?

[seamonster]

We need a bigger house, only can't afford to buy one. Our house would cost too much if we wanted to buy it now.
So, would it be advisable to get off the property ladder, rent a bigger house and wait for interest rates to stop climbing and house prices to even out and possibly fall.(Or our income to increase!)

If you desperately need a bigger house, your safest bet would be to rent out your current house, and rent a bigger house for yourselves. That way, you're not totally getting off the property ladder, but you're hedging your bets.

I do think house prices might fall, but maybe not soon, and maybe not by that much.

Do NOT get off the property ladder.

Can you rent out your house and rent someone else's?

The trouble with stepping off the ladder is you may well not be able to step on again.

Have you thought about renting out your current place, then renting something cheaper elsewhere? That way, the rent should cover your mortgage and you get the appreciation in its value over the years. To buy/rent something bigger may involve considering alternative locations maybe..

The timing of that cross post will give you a good idea of how slow a typer I am.

I would rent it out as well

We did actually jump of fthe ladder (DH was illa nd we needed the rquity), and it wasnt the disaster peole say, but I think its better to lease IF YOU CAN- soem mortgatge companies won't have it, ours (Nationwide- we rented it out before we sold it) took a lot of persuading

Would we need to change our mortgage. If so what type of mortgage would be suitable.

Legally, I think you might need to change your mortgage type, yes. The odds of the mortgage company finding out are pretty low, though.

You'd need different insurance, obviously.

This is going to be like that other thread where - in a startling but rather lovely way - everyone agreed and offered the same advice.

PS have you thought about renting out your current home?

If my DH gets one of the jobs he has applied for we will be selling up and using the profits to pay off all our debts and start afresh. We will have to rent for a while until I am qualified and back at work then we are considering building a house rather than buying.

I'm too chicken to try and slip it by them, I've heard of buy to let, but not re-mortgage to let. IYSWIM

scheneebly thats peety much our plan, I ahve another 2 years until I qualify but we are debt free atm (excepting student laons which you ahve to ignore as far as Ic an see, in order to stay sane)

surely renting out and renting would still cost too much? remember that you'll still have to pay for any repairs etc in your current house and may not find a tenant quickly - there are way too many things that can go wrong with that plan imo.

Why not sell up and buy in a cheaper area?

whatever you do though, don't rely on prices dropping because they might not drop. However, if you can find a good landlord then I don't think getting off the housing ladder isn't the disaster that some say it is (says she who's never been on it).

peachy - yes the student loans! I dont count those!

They're not debts, they're investments LOL

We don't particularly want to leave the area, and there is no-where around us cheaper. I understand that house prices may not fall, we are just looking into things at the mo, as we have a smallish 3 bed semi (with a ground floor extension and are expecting dc4 in Sept. It would be helpful to have a bigger house but unless we find a plan that we're happy with, and can afford, it just won't happen.
Hence my posting this thread.

Loft conversion?

Now that is something we are looking into quite seriously, only we have a modern truss roof, and it costs to convert them.

Thank you so much everybody, your advice is really great.