Sell my house in December or June?

[AceOfHearts]

My house is currently rented out (contract ends in December) and I am off to Australia at the end of September for a year so will be looking to sell from abroad.

I was originally planning to rent for a further 6 months and sell the house around June time as that is the end of my 18 month grace period so I know I will not need to pay any CGT, but my mortgage deal ends in January so will be going up to 4.99% and therefore I will not be making any money on it after the mortgage is getting paid.

This has made me wonder whether to look at selling once this 12 month tenancy is over. Plus the doomsdayers saying house prices are on the way down has me worried. What are your thoughts?

[Simpo Two]

Get a new mortgage deal?

[AceOfHearts]

Simpo Two said:

Get a new mortgage deal?

I thought that too but after going to the mortgage advisor and having a chat with him, I cannot get a better deal due to being unemployed since last December (I have been travelling around Asia).

There was 1 company he found that would have accepted me but the huge setup fees negate any saving on interest.

In hindsight I wish I had sold the house before I had left but everyone talked me into keeping it and renting it out. It has cost more in maintenance since renting than I have earned and it looks like values have already softened in the area too

[ReaperCushions]

AceOfHearts said:

I thought that too but after going to the mortgage advisor and having a chat with him, I cannot get a better deal due to being unemployed since last December (I have been travelling around Asia).

There was 1 company he found that would have accepted me but the huge setup fees negate any saving on interest.

In hindsight I wish I had sold the house before I had left but everyone talked me into keeping it and renting it out. It has cost more in maintenance since renting than I have earned and it looks like values have already softened in the area too

Get rid, asap IMO.

One thing to bear in mind (As someone who has been through this pain recently). Selling from abroad can be hard work if you haven't got your paperwork in order. Make sure you have everything lined up before you go, and still expect to be printing / signing / scanning things from wherever you are in the world. The conveyancing world is not set up that well yet for electronic transactions. I would shop around now for a solicitor that can handle this specific situation well (Mine was not very good).

My main issue was that my documents were in the UK when I was abroad, so when they ask for a copy of something (Say a FENSA certificate) I had to get my mother to root through all my papers each time and find it. Take into account the time difference and every step of the process is extended 2/3 times normal (And it's already a painful process). Emails take 24 hours to get responses etc...

Its not impossible, but be very well planned ahead for your travel situation. Personally, I would try and get it done before you leave, or at least set up a solicitor ready to go and get ahead of the game.

[Simpo Two]

If you sell it, you will then be wondering what do with the pile of cash...

Cut your losses, pile into the markets and ride the wave of a no-deal Brexit?