Should we sell up or rent out our flat? | Money | guardian.co.uk

Should we sell up or rent out our flat? | Money | guardian.co.uk

Q We bought our one-bed flat in 2007. As you can imagine we paid a high price and it is now worth nowhere near what it was. We now have an 18-month-old daughter and are very keen to move to somewhere bigger.

We recently had a valuation on the flat and the estate agent believes it is worth £100,000-£105,000, which is just below what we still owe on our mortgage. We are on a five-year fixed-rate mortgage which expires in April 2012, at which point we will not be liable for early repayment charges (currently £4,000 plus).

Our main concern is that we get to live somewhere with enough space for our daughter to grow and to have more children, so we are not averse to giving up homeownership and renting. Are we better off waiting till the fixed-rate period ends and trying to sell up .....