Most homeowners are dependent on selling their existing home if they choose to move, although selling a property is easier said than done in today’s economic environment. The difficulties in selling a home are forcing some of those determined to move to be creative in their approach to get out of their existing property.
So are there any alternatives that could help? Well perhaps there are as I am finding that my business, Living Property Waveney Lettings & Management, we are being approached by property owners who unable to sell are asking us to rent their existing homes out and in so doing turned themselves into tenants, the approach is coined ‘Let-to-Rent’. In addition I am also helping several homeowners that have decided to retain their existing property by renting by it out and then they seek to purchase, this is called ‘Let-to-Buy’. The later approach of course requires the home mover to have suitable financial resources for purchase deposit and, if required, meet their lenders mortgage criteria.
It is worth mentioning that Buy-to-Let activity has increased considerably over the last six month with a number of existing landlords seeking to add to their property rental portfolios as well as new landlords coming into the market and investing their capital.
If you have concerns that renting may not offer a sustainable future investment then the following updated research issued by the Halifax and NatCen Social Research reports that:
• 25% do not want to own a home (an increase of two percentage points on 2011)
• Two in five (40%) would like to buy a home but do not believe they will ever be able to
• Just 31% have a serious intention to buy within the next five years
• 50% believe Britain will become a nation of renters within a generation (up four percentage points since 2011).
*poll 8,042 people aged 20 to 45
Co founder and Director – Living Property Waveney Lettings & Management ltd
Trusted Specialist in lettings and management in Beccles, Bungay & Lowestoft