You shouldnt really sell a property in London at the moment. London is a good long term investment, and you arent likely to get a decent price in the current market due to low availability of mortgages (high deposit/equity needed). However, if you were to be a seller/buyer - you have the advantage of selling and buying in the same depressed market. I wouldnt sell up and rent. Rent in London at the moment is quite high (and increasing) due to the low availability of mortgages. For example, I am paying less than two-thirds in my mortgage currently, compared to the rent on the same type of property. I only have 20% equity. I would hence rent out the room, but to someone you know that you can rely on (i.e not a stranger, maybe a friend of a friend). I believe its a much better financial decision in the long run.