What About Selling Up Your Property And Renting? A Look At Some Of The Pitfalls In The Private Rental Market .
// August 11th, 2010 // Comments // Real Estate
Well thanks to the banking calamity in America the last few years have meant awkward times for all of us . The credit crunch seems to have taken us all by surprise, including the financial centres of the world, and for some of us it has meant there has been the temptation to get into the “Sell My House and run away” mindset especially when the payments section of the family budget is greater than monies coming in .
You have to feel sorry for small businesses and the self employed as they seem to have had the burden of the recession , and the employees of the smaller companies have been the first to suffer the true monetary consequences when the business itself fails due to lack of credit. Usually the main financial drain at this time is the expenses incurred by running the family home. When We Buy Homes it is often with the expectation that our financial status will not decline to the point of not being able to afford to live in them, but the last eighteen months to two years have seen extraordinary times for the UK economy as a whole. The temptation to sell up and rent something cheaper is becoming a a progressively more common happening . But if We Buy Houses to live in then it does mean that we have a requisite to live somewhere and unless moving back in with Mum and Dad is possible then turning to the private rental market is very often the only option .
The rental market in Great Britain is a strange animal to say the least. Council or housing association houses and flats have extensive waiting lists and although anyone can put their name on a waiting list for a council house , you are unlikely to get one unless you are a member of a group which the council has give priority to , such as families with dependent children . There are restrictions on councils buying new properties even though there is definitely a demand for such and the procedure of flogging off council houses or “Right to Buy” has meant that there plainly aren’t enough reasonable houses for rent in the UK in the local authority sector .
It’s tempting to think that generally We Buy Houses to suit our family size requirements, almost never do we buy smaller than we actually need and if a family is thinking about expanding , then it’s commonplace to buy a home that is bigger than is currently required. Thus when viewing rented property , whether it be local authority or private rental sector, it’s pretty well impossible to downsize from your own property size because of the needs of the family, unless you are moving as part of a change in family circumstance in which case all bets are off. This does mean that you may not make the budget savings you thought you would by selling the house and moving into rental accommodation because you cannot truly downsize and because you are more than likely to have to sign up for a six month assured shorthold tenancy you are stuck with this agreement for quite a while.
Whenever We Buy Homes we also seem to build up a huge load of “stuff” to go with them. This all needs to be accommodated with the rented property environment, unless you are going to have an enormous car boot sale, and this is another reason why you are unlikely to be able to downsize and save costs by selling up and renting
“I want to Sell My House and have a carefree time renting” may feel like a good idea and a way of fleeing from the household bills but in the real world it may be just as costly in the long term.

















































