Tell me about selling then renting before buying again...

[bowbluebell]

Hi,

Title says it all really. We are looking to sell our flat and rent out our cottage. Have considered buying somewhere in a chain but I'm not sure that we would be able to find somewhere as we have decided on just a couple of villages. Therefore, we are considering selling and finding somewhere to rent for a few months,while we look for a new house.

Has anyone else done this? Is two moves in a short space of time a nightmare? Did you feel all at sea not to be in a house of your own? Is it not that big a deal and I'm being totally neurotic?

BTW- Have a 14 month old and will hopefully have another baby next year (fingers crossed, just to complicate matters!)

Thanks

We've done something a little bit similar (just trying to buy at the moment), and I have to say being chain-free seems to be a massive help. Also you know your budget is final (no danger of getting gazundered at the last minute etc).

The main danger is not that you have to move twice very quickly - but that you get 'stuck'. We've spent so much £££££ on furniture storage because we've been here longer than we anticipated. On the plus side, it did mean we didn't have to rush into a decision that might've been wrong for us.

Pros and cons, but if you can afford to do it I think it's worth it. Being chain-free might even enable you to negotiate the price of a house you buy down to cover some of the rental/moving costs.

Hi, I'm lurking here because we are thinking of doing the same thing!

We've done this. We lost two houses because of being in a chain, but once we were in rented we became premium buyers

I really really didn't want to, dreaded the hassle, was worried about feeling lost/uprooted, etc I hadn't rented since having the dds, and wasn't sure how it would be with a family. As it turns out, its fine...we've been in rented since September, bought a house in November, but haven't moved in yet as we're building an extension and can just about afford to wait till its liveable in.

Most of the feelings I had were before the move: once we did it, it felt liberating! That said, you do need to think about the economics of it all. It can take longer than you think finding another place to buy (and there aren't easy places to put money while you're looking, at least not with much interest, of course).

I have done this three times, largely because of the impossibility of manageing a chain when moving between the English and Scottish systems.

The time it worked best, I had a serious de-clutter before I moved out, all my own furniture went into store and I rented a fully furnished house. You do need to be fairly well organised if you put stuff into store. Otherwise, I found it fine.

Home-loving DH found it tough though.

i think it very much depends on the area and how specific you are about the area you live in.

I have quite a few renting friends in the village where we live who are all pretty much decided to rent on the basis it put them in a better position. but the reality is there are several other families like them. so they are all just sitting waiting for houses to come on to the market, and when one does, it goes under offer quickly, with little price negotiation.

we've done it...fantastic.....you may end up renting longer than you intended but its so nice to have the freedom and no stress of being in a chain....we'd definitely recommend it.....plus, when you rent short term you can live a sloven in a tip and enjoy it with no "i must keep my house nice and shiney and clean'.....plus, as soon as there is a problem with anything you can call the landlord to sort....if he had his way, my husband would have us rent full time........good luck!

We also did this.

It's OK provided you are reasonably organised! We too didn't get much advantage out of not being in a chain as there were also others in the same boat, ready to pounce BUT it did mean there was less hassle in buying (though it still took 4 1/2 months from accepted offer to move in!)

The downsides are: regarding renting and not having to keep the place spotless- we-e-ll, you get far more paranoid about every orange juice spill and small marks on the wall when the DCs crash toys into it! Whilst there IS more protection now for tenants than once there was, 20% of all deposits are at least partially 'with held' often for spurious reasons.

You may also get some spotty youth poking around your home every 3 months doing 'an inspection' which can be maddening.

It's quite expensive! Esp if you have to store some of your stuff. And the deposit can be ridiculous, as can the semi-legal fees the agents charge (£250 per adult 'Referencing Fee'- I sat there and watched as it took the agent 4 minutes to 'reference' us!)

Good luck with whatever you decide to do.

We did this too. We rented somewhere less than pristine due to the DCs and concerns about marks on the walls. At the end of the lease the agents were very fair - they said it needed redecorating completely and ours was all fair wear and tear. They took the money for a complete clean though, and that was done after the painters had been in.

DS2 was upset about moving house the first time, because he was too little to understand what was going on (1.5). The second move was fine 9 months later but now he just assumes that we will move again sooner or later, and just comes up with suggestions. Sweden is the current favourite.

It was good having an overlap between moving out of rented and into the house, albeit expensive. Gave me time to clean the house, which is something our vendors seem not to have considered they should do!

I would do it again if I had to, but I wouldn't rush into it. As well as the expense and all those pointless admin fees and little extra charges, there's just a lot of hassle, telling everyone you've moved AGAIN.

We are in rented having sold our house last year (we're in the process of buying at the mo). I was really anxious as I didn't like the idea of renting after years in my own place/felt like I'd be living in someone else's house, however, it's been fine with all our own crap belongings around us.

The thing about being in a chain (esp in this climate) is that you're so vulnerable to it all falling apart. If you sell/rent/sell you're in a very strong position - effectively a first time buyer - which makes you very attractive to sellers.

I agree about the spurious fees for renting. And the very intrusive and extensive questions prior to renting: we had to provide less info for a substantial mortgage...

We did this and it worked very well for us. We stayed in the rented place almost exactly a year. Good luck.

Hasn't really worked for us. Our landlord has served notice as we wouldn't sign up for another long tenancy. So we have ended up buying a compromise house just for somewhere to live. It's OK but I don't think we have got any benefit at all from renting and you can be cornered if your landlord serves notice. You don't really save any money and there is the uncertainty and hassle of at least 2 moves.

We're thinking about doing this as well...does anyone know how it works with your mortgage?

As mortgage company will let us transfer the mortgage over to a new property - but if there is a gap will they make us pay a redemption penalty and then reapply? If not and they just keep the mortgage for you until you buy somewhere else, do you have to keep making the repayments?

PandaSam, I think it depends on your mortgage company and the product you have. It's probably best to phone them and ask.

a mortgage is a loan secured on a property. if you dont have a property, you cant have a mortgage.

Pandasam, we are on a really good mortgage, no tie ins, just half percent over base. If we move to another property we can move the mortgage over, but if we go into rented, we have to pay it off and start a new mortgage at whatever rate it is at the time when we find a house we want.
Not sure if this is the same with all lenders but I'm sure HerHonesty is absolutely right.

yes, you have to end one mortgage and start another. But that's a bonus - because you are not paying all the insurance etc that covers life/the mortgage while you are in rented. We have just agreed the sale of our house and and looking for a rental.

When you add up mortgage/life assurance/council tax for the place we are selling and compare with rent and council tax for the places we want to rent, we will get a place twice the size, with loads of storage (huge garage) for less that £100 per month.

This is perfect while I am on maternity leave (finish work in 10 weeks). Then, when I am back at work and we have even more money free per month to spend on a mortgage, we hope to buy a bigger, permanent family home. Ansd at that time we'll be prime purchasers thanks to our lack of chain. (we also hope to have added to our deposit - but let's see how skint my maternity leave makes us!)

I think it's a great way to do it.