Tim Jordan conveyancing partner at FDR Law’s office in Stockton Heath discusses buying a home - with a little help from your friends
Many young people today are facing the prospect that they may never be able to afford their own home.
Home ownership, something their parents’ generation took for granted, has entered the realms of an impossible dream for vast swathes of the population – especially those living in London. But with so many people in the same boat, friends – or even complete strangers – could now hold the key to home ownership.
The idea of purchasing as a group is an inspirational one – allowing people who would otherwise be forced to rent forever to take their first step on the housing ladder. The National Association of Estate Agents (NAEA) has urged young people to consider joint ownership – arguing that buying with family or friends could help to spread the costs of purchasing and maintaining a home.
With house prices continuing to rise there are plenty of young people who know they will never be able to afford a home on their own – and in those circumstances buying with friends could be the solution to an otherwise insurmountable problem.
But it is essential to anticipate potential problems and to draw up clear legal agreements in advance.
If you are planning to buy a home with others, whether they are friends or strangers, it is important to have full and frank discussions about possible future problems – such as what will happen if one party wants to move out or sell their share.
No matter how good the friendship is you should ask a solicitor to help you draw up the legal documents. Attempting to save on this could cost you dearly further down the line.
But so long as the legalities are properly attended to buying with friends could be the perfect solution. Happy house hunting!