If you’re planning to relocate for a new job, to meet family needs or to change your lifestyle, then what will happen to your old property? There are various options available, each with their own pros and cons, so here’s an insight into some of the key possibilities available to you.
Life doesn’t always turn out in the way you’d expected and even the best laid plans can come undone. Where sudden, unexpected debt is concerned, it’s likely to affect all areas of your life, from lifestyle habits and food shopping, to more important factors such as your car and property. Here’s an insight into some of the ways you can deal with your property if you suddenly experience debt, along with the pros and cons of each.
Letting out a room in your property
If you’ve got one or more spare rooms in your property – perhaps due to your kids leaving home, or a guest room that’s not in use – then one option to help with a debt problem is to let out a room in your home.
This can help bring in some extra cash each month and, if you let a room on a long-term basis, you will know how much extra you’ll be earning each month. If you use the Rent a Room scheme you could earn up to £7500 per year tax free.
Taking in a lodger isn’t for everyone and it can change the dynamics and feel of life in your home, especially where you need to share some rooms, such a bathroom or kitchen. Also, this won’t provide an instant lump-sum and it will depend on how in debt you are as to how viable it proves to be.
Letting out your whole property to ease your debt
If it’s only you in your home and you don’t need all the extra space anymore, then you could consider renting out the whole of your property. It will of course mean you’ll need to move out, but if you’ve got friends or relatives who’ll put you up for free, it can be a viable option.
Your property could be let furnished with your furniture in situ or unfurnished. A furnished property could potentially earn you more than an unfurnished one, depending on its location and the type of tenants you’re aiming for. You’ll also not have to worry about spending out on furnishing it or buying appliances as yours will already be there.
Unfurnished properties have their benefits too, and are more likely to appeal to families who already have their own furniture or want a long-term let that they can personalise with their own belongings.
On the downside, you might worry about becoming a landlord, having to deal with repairs and finding tenants and the potential wear and tear costs involved. And if you haven’t got anywhere else to stay rent-free, it might not be cost effective.
Selling your property through an estate agent
If the level of your debt means that you’ll need to sell your house in order to cope with it and clear debts, then you can sell it conventionally through an estate agent.
Of course, there’s no guarantee that it will be a quick process or even sell. Although you may be quoted a positive sounding figure, and your house may go up for sale at that price to start with, with many buyers providing offers, there’s no guarantee you’ll get exactly the price you’re looking for.
Sell your property quickly for cash
If your debt problem is very pressing and you really need to earn extra cash as soon as possible, then a quick and convenient option is to sell your property quickly for cash.
It can be hard to find a cash buyer immediately if you’re trying to sell through an estate agent, but by using a specialist company that buys houses for cash, you can free up your debt quickly. If your property meets the criteria (for example, it’s in the geographical area that the quick sale company specialise in), you could receive an offer to purchase your property with 24 hours of it being viewed.
One small downside is that you might not get as much for your property as you could have if you waited around for an offer via an estate agent, but when debt is concerned, sometimes you just don’t have time to wait for ‘what might’ happen.
If you’re currently a buy-to-let landlord, or are thinking of investing in property to rent out, then are you up to date with your knowledge on local landlord licensing? With a growing number of councils in the UK introducing more licensing rules and regulations, it’s important to ensure you’re on the ball and in the know. Here’s an insight into what all buy-to-let landlords need to know abut local licensing.
If you’ve got a new job abroad or are emigrating overseas to be nearer family, there’s a lot to think about. We’ve got the lowdown on what you need to know if you’re selling up in the UK and moving abroad.
As a property owner, you’re unlikely to want to dwell on the issue of property repossessions. But in a world where finances and circumstances can change and tumble beyond our control, it’s best not to bury your head in the sand – especially if things aren’t going to plan financially. In fact, by being aware of the facts about property repossessions, you could even help save your home from being repossessed.
One of the common issues affecting house owner status is a sudden change in your personal circumstances, such as divorce or separation. If you’re unsure of what will happen to your property and mortgage if you’re getting divorced, read on to discover the facts.
Like many other areas of business, the property buying and selling world is full of special terminology and jargon. It all makes sense when you know what it all means, but if you’re still getting to grips with everything, it can be confusing. In this post we’re going back to basics and taking a look at the lowdown on property leases and what they mean to buyers and sellers.
When it comes to selling property, property chains are one of the biggest headaches you can face. According to research, up to one in three intended property purchases falls through, leaving buyers and sellers with no choice but to start the process again.
There are numerous reasons why property chains can break – they’re especially susceptible where chains are long and complicated with many links on the way – and it’s hard to deal with the fact that someone you don’t even know dropping out of their sale or purchase could result in you losing money, time and effort with your property plans. We’ve put together the lowdown on some of the common reasons for property chains to collapse, plus some ideas on how to avoid the dreaded property chains in the first place.