Sell, store furniture, then buy as a first time buyer - good idea or not?

[Davey]

I am considering what may be a terrible plan. It is this:

Sell my house (3 bed detached) and then put the furniture in to storage (Rotherham, circa £160/month). Live at my girlfriend's father's house for a short period (good egg and we all get along swimmingly) and then upsize as a "first time buyer".

This would seem to have 2 real benefits. First, i am selling our house with no chain and thus should get a little more for it and secondly will be a "first time buyer" again and am thus likely to be able to get a bargain.

Does this seem like a good idea (or not)?

Thanks

[New Homes Expert]

Wont work! Your name will have been registered with the land registery on your real first time home purchase.

Not forgetting how much the storage of furniture will be costing you!

Stop trying to dream up daft ways to beat/cheat the system, work hard and save hard.

[Davey]

Yes, i suspect "daft" is the correct adjective to use!

I was basically considering the advantages of there being no chain involved in both the selling of my house and the purchasing of a new one.

PS: Always worked (hard) and have always been a saver by nature.

Thanks for the quick reply.

[editha]

I think that in a buyers market, as we have now, you have nothing to lose. By selling and then waiting before buying you take advantage of the dropping house prices, and you are right that having no chain is an advantage in selling and buying.

However, I think there is a psychological danger, that without a property to buy, you may settle for a lower offer on the property you are selling, and if you find living with the good egg isn't as easy as it is cracked up to be (sorry couldn't resist that) you may end up buying at a higher price than is necessary, thus wiping out your potential gains.

[IFA]

Hi Davey,

I think New Homes Expert has been a little harsh with his reply. I think he has misunderstood your intention in that I believe he was thinking that your plan was to avoid stamp duty by pretending to be a first time buyer.

The way I read your post I don't think that this was your intention. I think you are simply hoping to break the chain by staying with family to make things easier and more convenient and possibly attract better buyers and be able to better negotiate on the purchase.

There is some merit in this, but editha has pointed out some of the possible problems to be aware of. Also, New Homes Expert has made a fair point regarding additional costs of storage etc.

[Davey]

Thanks for the replies, it's certainly food for thought. I am always looking to hatch a few good ideas.

However, i have to agree with Editha. If living with the "good egg" turns out not to be all it is cracked up to be i may end up scrambling for a new house and end up getting poached! Of course, the last thing i want is to get egg on my face!

[Trades MASTER]

Do you like egg's by any chance?

[Davey]

Are you suggesting the yolks gone too far!

[Dan S]

Hi Davey

Although, as everyone has said, there is little advantage in your plan, your heart is most certainly in the right place. Those who don't try to think outside the box a little and use all available resources don't reap the rewards.

There is another option if both yourself and your girlfriend's father won't mind you staying with him. You could move in with the good egg and then rent out your home. Simultaneaously you could save like mad for a deposit on a small flat nearby (I'm assuming the egg isn't charging you rent?) Once you'd saved a 10% deposit, you could move into that with some breathing space. It all depends on wherever you need the space, but if it's just you and your girlfriend there shouldn't be a problem. Suddenly you've downsized with the mortgage on your house getting paid off steadily.

It's not a permanent solution but would satisfy your original quetion with at least some ancillary benefits.

All the best,

Dan