At MoneyHighStreet we have published several articles about the benefits of renting a house rather than buying during these difficult financial times.
With house prices falling and lenders withdrawing many mortgage plans, it seems to us that rented accommodation is becoming a more attractive proposition. This is a message that many home owners seem to be acting on as the local letting agents are reporting huge levels of interest from potential tenants and landlords.
Home owners seeking to move, but being unable, or unwilling, to sell their home at a reasonable price, are thinking about letting their homes instead. Those who have sold, or have nothing to sell, are seeking rented accommodation to wait for house prices to fall lower.
It was interesting to hear Ken Clark, a former Conservative Chancellor, give similar advice to first time buyers this lunch time. He is predicting that mortgages will become easier to arrange, and will be cheaper, in a years time. Also he thinks that property will be cheaper in 12 months time too.
First time buyers, according to him, should not be taking the plunge into the property market now, but should be renting instead – biding their time until things get better.