Thoughts from our Property Experts

“Sell and Rent for Free” option.

by Jerry Epton MRICS Jerry Epton MRICS, author of this post , Thursday 17 August 2023

An alternative for home owners is now available, which is that owners can sell and electively rent for free… With interest rates for years being so low, property owners have sought a secure alternative to invest into once they sell. Historically, investing in secure and liquid UK Gilts, i.e., lending to the UK government, yielded just 1.5% per annum this time last year. Now the yield is higher than 5.5% per annum. More use, more value…greater flexibility is now available… Property owners can now sell, invest the proceeds in secure and liquid UK Gilts and their annual yield of over 5.5% more than pays for rent paid in the period. From this position, they can watch the market and buy at a later stage, when they’re ready. The rental period would be seen as a means to an end to secure the ideal, long-term home and be ready and in the best position to achieve this, i.e., liquid, with no chain, fully informed of the market, clear about what is wanted and willing and ready to act swiftly to secure it.

Jerry Epton, Property Expert, Notting Hill

YOUhome ‘Thoughts from our Property Experts’ are for information purposes only & readers should consult with an independent financial advisor regarding investment and yield advice.