Property Buying Guide

What's good about joint ownership, joint equity or property co-buying?

• You share the deposit between you, so you don't have to save so much to start with
• You share the monthly mortgage payments
• You share the initial costs of buying a property (solicitor's fees, etc)
• You are investing in your future, rather than paying rent
• When you sell, if the property price has increased, you will have capital to put down on a place of your own
• You get onto the property ladder earlier rather than renting or living at home
• You can sometimes afford to shorten the term of the mortgage, thereby saving on interest
• The formal cohabitation agreement helps to avoid conflict, which may not be the case if you buy with a spouse or partner
• You share responsibility for the maintenance, repair and redecoration of the property
• You share the household bills
• You share the housework
• You can part own a property but not elect to live there - renting it out

What are the downsides of joint ownership, joint equity or property co-buying?

• You need legal documents, including wills, to protect your investment, which means additional costs alongside the usual house-purchase costs
• One or more of you may wish to sell before the others are ready to move on and you may have to make alternative arrangements (such as finding a tenant) in order to pay the mortgage
• Everyone is responsible for the mortgage, so if one person defaults, the rest of you have to cover the payments
• You will need mortgage payment protection and life assurance
• The process is quite bureaucratic and you will need records to keep track of payments, etc.

Find out more about Joint Ownership, Joint Equity and Co-Buying a property in our guide:
 
How much can we borrow for a joint ownership mortgage? l The two types of joint ownership, joint tenancy and tenants in common l Drawing up a trust deed, or declaration of trust and joint ownership agreement l Example of a declaration of trust l Example of a joint ownership agreement l Joint mortgages and how the finances could work when you buy with others l Finding someone to invest with and tips for those using joint ownership schemes where you can meet other prospective joint owners. l Frequently asked questions about joint ownership 

Most useful and most popular pages on this site:

Look for your First Property l Seek First Time Buyer Mortgage Advice l See our Best First Mortgages Comparison Table l Find out about First Time Buyer Mortgages l Find out How to Buy a House l Learn all about The First Time Buyer Mortgage l Shared Ownership

More help for first time buyers on joint ownership:

• Request a quote for drawing up co-habitation agreements and wills
• Request joint mortgage advice
• See our table of best first time buyer mortgages
• Find out more about getting a mortgage with a parent
• Find a list of co-buying networks where you can meet someone to buy property with 
• Did you know you can get a mortgage with a parent without having to both be on the title deeds?
• Ask for a quote for conveyancing
• Ask a mortgage advisor about mortgage payment protection insurance and life insurance
• Find a property