Has anyone rented at short notice to save a sale?

[Marmiteymuffin]

Our ongoing purchase chain has fallen apart just before exchange. One option could be to continue to sell our property and move into short term rental whilst we sort out our purchase. Not keen on this but we are exploring all options. I wondered if anyone has done this and could share whether it was a good or bad decision for them, or tell us something we might not have thought of? Obviously loads to consider here.

Yes, we did this, the gap was 'only' 6 weeks though as our purchase fell through about three-quarters of the way through, but we wanted to keep our buyers and found another house quickly.

No family lived locally enough to allow for school runs etc so we actually ended up staying in a (very) budget hotel! It wasn't ideal, especially with the cooking and the washing, but we made it work, definitely worth it for us to keep things moving along.

We did it. We still haven't found another onward purchase 14 months on but have no regrets. However we sold our house at the top of the market, when interest rates were rising. So we have the money in the bank from that which is paying the rent while the market falls. So timing was plum for us. If you think you've got a great price for your house in the current market, and the rental is not way more than your mortgage was / the interest on your equity can cover the difference, I'd absolutely keep your sale. Being chain free in this market is very valuable.

check out the rental properties in your area? There’s naff all around here so it wouldn’t be an option

I know quite a few people who have done this- one did 5 months AirBNB locally too- with their stuff in storeage- they preferred this as it didn't mean large deposits, referencing or being tied in.

Would second the pp who said to check the available rentals in the area.
The rental market in many areas at the moment is crazy. There are properties being let without viewings or having 20 applicants for one house.

I don't think short term rental is a bad move if the finances work - but if you deiced on that and then can't find anywhere to rent either, you could end up in a very difficult situation.

I did for a month. Put everything in storage.

Ok thanks. Some good points. rental price is way more than our current mortgage. I suppose if we find something else we like and have more of an onward plan I would feel more comfortable about short term rental. Its very hard to forecast whether we will get our current offer price again. Hoping our buyers will hold on until we atleast have had time to consider what's out there. Aagggggh!

Don't forget if you do rent temporarily that all proceeds can go into a high interest account and interest will cover some of the rent.

If there are rentals available that you could make work for 6 months or so, I'd consider that. You'd also be in a good position to proceed quickly when you do find a property you like as you'd be chain free.

Is your purchase still going ahead, just delayed? Or are you starting from scratch?

We moved into rental as a deliberate choice as we needed to move for work and had to be in our new location by a certain date. It was far worse than we'd imagined as competition for a rental was so fierce (6 month tenancies weren't available - year minimum! Short term lets were so expensive it wasn't an option).

As it was we ended up in the rental for 18 months by the time we'd found somewhere to buy and then renovated it. There were good points - we now have a fantastic house, renovated exactly as we want it. And we got to know the area better so ended up buying in an area we wouldn't have initially considered.

It might be worth it if you're somewhere that has low demand for off peak Air bnbs or something similar eg over the winter in a holiday location as you could probably get somewhere cheaper for a month or so.

Most Landlords want a 12 month minimum rental contract these days but you could offer to pay more and upfront for a shorter term I guess. A lot of Air Bnb's won't rent for more than a month. This all provided you can find a rental you like who will take you. It is a risky strategy if you have no onward purchase in sight and don't want to rent for a year.

We considered this a couple of weeks ago when our purchase was delayed but decided to just put our back on the market. Short term rentals in our area were 4K w month and there was nothing to rent longer term with a dog.

We stayed in a Premier Inn for about 8 days but we were in the process where we just needed paperwork sorting and it would be all good to go.

I would see if any friends/family have an empty garage or spare room where you could store things. Even a few boxes to lesson the cost of storage.

Different circumstances (renovating) but we considered a longer term rent at a static caravan park. Especially in winter, some offer great rates for block bookings. We ended up buying a van and put it in the garden. We lived in it for 2yrs. Not ideal, but we managed. Unlike a hotel, there was also a kitchen!

Yes, only 5 weeks though. This was because I was due a baby. It cost a lot (500+ per week) but meant I had somewhere the baby could come back to if I popped! Finally moved 2 weeks before due date!

Yes, we had 3 weeks in a local holiday cottage. Our sale had to be completed by a particular date but the new house wouldn't be available until 3 weeks later. We had exchanged on both at the same time though and the completion date for our purchase was specified in the contract so I knew it wouldn't last for ever. The holiday cottage was our only option - no short term rentals available at all - but the owner was very pleased to have a 3 week booking out of season.

Yes. But it's easier to do in Scotland where tenancies are open ended. So no minimum or fixed term on rental agreements.

We lived an air bnb house for a short period which worked for our situation which was slightly different to yours (we had already purchased new house but it wasn’t ready to move into due to building works). A friend’s parents have recently sold and rented whilst waiting for their purchase to go ahead but they rented off friends so a lot cheaper than market rate.

We did this when we couldn't find anything to buy but needed to sell to relocate for the start of a new school year. Rental wasn't really an option after researching it, all letting agents told us we'd have no chance getting a rental as there was so much competition from long term tenants and so few properties available that a landlord would never pick us out of the 10-15 applications they get for every property. We could have rented something in another town 20 mins drive away but it wasn't a nice area and I thought it would be unsettling being so far from our school place, plus hard to manage around our working hours. So be very careful to check if renting is a realistic option for you before agreeing to move out.

We contacted a few Air BNB and independent holiday cottages and as we were moving over the autumn/winter reason a couple were willing to negotiate a longer term let rate, but some had bookings months ahead so we would have had the uncertainty of moving out then back in again for those weekends. Plus the rent was going to be a lot higher than a long term rental or mortgage (£2K a month instead of roughly £900 for a normal private landlord rental in our area). Fine for a month or two, but as it happened we ended up living with family for nearly a year as our property search took much longer than we expected and a purchase fell through.

We were very fortunate to be able to move in with family to save money and be in the location we wanted, but it did strain relationships so again something to really consider how long you might be able to stay for and a back up plan if things take longer than expected. Without children I think you could manage, but we found it really hard as it was squeeze, plus the children found it upsetting having so many of their toys and belongings in storage as there wasn't room for it all at our relatives house. If we had rented we wouldn't have needed to put much in storage.

Things worked out for us in the end as we saved money and could hold out for the perfect property, but but we were overly optimistic how long things would take, and the impact on how well the children settled was greater than I expected as on top of missing their friends and adjusting to a new school they didn't have the security of a home and their familiar belongings around them.

Sorry that's an essay, but hope our experiences give you something to reflect on

Yes - I was buying a new build - the builder kindly got mine finished first because my house sale was about to go through and I would have lost my buyer. So I rented off my builder and lived on a building site - oh joy! When my sale went through I let the builder know and he waived the rent for the 3 months I was there. I did not say no!!

Great, thanks for the replies. It's helpful reading them. We've got a lot to think about. I think on balance, without a secure ongoing purchase, it feels too risky going into rental. We might get some clarity soon about what might happen with our purchase. It's so hard to make decisions with such uncertain time scales...

I did this in order for my sale to go through, I’d agreed to take a tenancy as I couldn’t find a house to buy (2021 and the market town I wanted to move to was very popular). In fact, I found the house I am now in just a week later, and so I opted for Airbnb and then stayed with friends for a few weeks. It was almost impossible to find a tenancy for less than twelve months.

Factor in the cost of storage, rent, and (in my case), cattery fees. Be aware that even if you think you have found a house to move to, things can be delayed or fall through. It wasn’t ideal from the point of view of having to move twice, having stuff in storage etc but it makes you flexible. I had lost out on previous houses and I think being chain free made the difference in being accepted.

I would definitely do it again.

Yes, 5 months ,we had to move for work anyway. It all worked out well. I've never been part of a chain when buying or selling. THAT seems so stressful.

Ignore people who are saying you need a minimum of six months. This is for an assured short hold. You would instead use a licence like the sort of agreement you sign for a holiday let.

We’ve done this twice, both times for 4 months and both times we’re lucky the landlord let us out of the contact early. It worked for us.

Just interested in whether you went into rented in the end or what you decided to do.