With the housing market having crumbled over the last year, many people in the United Kingdom are looking for a new way to find a place to life. Interest rates are low but there is still some hesitation in investing in homes. In 2008 alone 11,300 homes were repossessed by their mortgage companies and lending fell 44%. It is believed that 2.5 million homeowners will be facing negative equity by the end of 2009. If this is not a stiff reminder to people that buying a home is not always the best option, we're not sure what is.

So what should you do if buying a new home is an option but not one you're sure you want to take right now? The first obvious option is to rent a home, but not even this option is better than buying a home. If you rent a place for 25 years you will be paying more in rent than you would in mortgage payments. At least with a mortgage you have something to show for the money you have spent, and that is a home of your own. This figure actually takes into account home maintenance and changing property values, showing that owning a home in the long run is better than renting. However, many people cannot afford a mortgage or sell their homes, and with the demand for rental property continually increasing, some people have opted to become landlords instead of selling. In some places it still is cheaper to rent, so the decision ultimately is up to you.

You could consider house swapping, a technique that people have been doing for years in council houses and holiday homes. Basically you and another party agree to swap homes and most often than not the two parties share the cost of doing this, such as legal and professional fees and stamp duties. You get a new home, they get a new home, and everyone is happy. House swapping is starting to take off in the United Kingdom even more, and it's not unusual to find up to three families owning the same home.

Some people have actually put their homes up for auction, but this is not a wise idea as you may never see the auction winner or the money. And if you really want to just earn more money because you cannot unload the house you are in, you could consider letting rooms in your home while keeping a few for yourself, sort of like a boarding house atmosphere. The down side here is that the rent is considered income and taxable.

Moving and selling your house to go live in a new one is a big step for everyone, and you really need to weigh all of your options before you make a major decision such as this. You need to make sure you have your finances and your credit report in order so that whatever decisions you make is not hampered by your inability to pay or incorrect statements. Be realistic about what you can afford, and if you have to, save up some money or consolidate your debt  before moving. It's a buyer's market out there right now, and you have the time to find the perfect home for you. Additionally, don't be afraid to haggle on the price of the home a little bit regardless of whether you are buying the home or renting it.