Should we sell?

Mimilexi

I would appreciate some advice re selling property:

Our primary residence is in Dunboyne, it is 10 year old detached, 4 bed, in cul-de-sac, small estate (50 houses). We bought house new so have a small mortgage.

My dilemma is: should we sell up, pocket the profits and wait for housing to come down in price and then re-invest in the market?

We have another house we can move to down the country, we love it there and will be able to telework and commute. The profits from Dunboyne would clear the mortgage on this house and we would a have decent amount left over to invest.

Other alternative is to hold on to the house, perhaps rent it (though that would incur capital gains I believe) and wait for prices to come back up, rail link to Dunboyne supposedly happening in 2009, but by this time will value will probably have dropped regardless. I am worried we will regret selling in the longterm.

We have almost made up our minds to put house on market (have to organise estate agent) but I would appreciate some opinions.

Thanks.

patrickolee

It's a bit of buyers market (if there's any market) at the moment... personally I wouldn't, I'd rent it out for a while and sell in perhaps 6-8 months. But that's just me.

conor_mc

If you're going to sell it, then sell it. I wouldn't wait around to see what the market is like in 6-8 months, could be a bloodbath at that stage.

Having said that, I wouldn't sell up with the intention of buying back a similar house in a similar location. You've a helluva transaction cost that may or may not be recouped, depending on what happens to the market.

Now if I was moving house anyway, I'd sell up and sit tight for a while to see what happens in the next year or two - you're going to incur stamp etc in moving house anyway so nothing to lose. But in your case, it seems that you're looking to short your own house, as it were, which means prices have to drop by at least the cost of stamp duty. On the other hand, you won't be paying interest on two mortgages for a few years so that could make it worthwhile.

I'm bearish and am inclined to think that this will probably pay off, but at the same time I'm not sure I'd advocate it either, certainly not without doing the maths on interest saved etc.

Zambia

I think yes this would have been a good plan but the ship has sailed on it. You would have needed to do this pre jun 2006.

Now the buyers market is in place , you could be looking at a lot of grief trying to sell.

Plus increased costs commuting etc ...If you want to stay in dunboyne long term I would wait it out.

ircoha

Mimilexi wrote:

I would appreciate some advice re selling property:

Our primary residence is in Dunboyne, it is 10 year old detached, 4 bed, in cul-de-sac, small estate (50 houses). We bought house new so have a small mortgage.

My dilemma is: should we sell up, pocket the profits and wait for housing to come down in price and then re-invest in the market?Bad idea IMHO: the in and out costs here could be 100k so do you see what is prolly worth 500k tops dropping to 400k or less: if u do then we better buy the boat tickets now before they start charging for seats and baggage

We have another house we can move to down the country, we love it there and will be able to telework and commute. The profits from Dunboyne would clear the mortgage on this house and we would a have decent amount left over to invest. Good option to have but not with a view to buying back again.

Other alternative is to hold on to the house, perhaps rent it (though that would incur capital gains I believe) and wait for prices to come back up, rail link to Dunboyne supposedly happening in 2009, but by this time will value will probably have dropped regardless. I am worried we will regret selling in the longterm.if you can have a house, and be long cash and still work without too much stress then do it: we all dream about this scenario.

We have almost made up our minds to put house on market (have to organise estate agent) but I would appreciate some opinions.

Thanks.

Do it!

The_Conductor

Yup....
Do it.....

Victor

conor_mc wrote:

Having said that, I wouldn't sell up with the intention of buying back a similar house in a similar location.

I would agree with this.

Look at all your costs over the next few years, including travel costs and time, tax, transaction charges, etc.

Mimilexi

Thank you all for your advice, it is much appreciated.

Plan is to get Dunboyne ready for market, Sherry Fitz valued it last mth but will try the other local agents to see what their rates are, SF quoted 1.10% and a 400euro marketing fee up front. Will be interesting to see if we have any viewings/offers considering the current state of play.

It's my first time posting on forums, def a good place to get opinions.

Thanks again.

Zambia

Mimilexi wrote:

Thank you all for your advice, it is much appreciated.

Plan is to get Dunboyne ready for market, Sherry Fitz valued it last mth but will try the other local agents to see what their rates are, SF quoted 1.10% and a 400euro marketing fee up front. Will be interesting to see if we have any viewings/offers considering the current state of play.

It's my first time posting on forums, def a good place to get opinions.

Thanks again.

I sent you what I got SF for but that quote is stupid 400 euro for marketing

A leaflet a sign and a Myhome entry

That 1.10 does not include VAT , you will have nothing left after a 5000 - 6000 deposit from the buyer.

Best you bring a balaclava so he can wear it when he repeats this quote