propertytalk Live! - Tips to make joint property ownership work

propertytalk Live! - Tips to make joint property ownership work

Struggling first-time buyers are increasingly finding it easier to get on to the property ladder if they buy a home with friends or family.

But with a house likely to be the biggest purchase of a lifetime, it is important to get it right from the start, according to the National Association of Estate Agents.

Peter Bolton King, Chief Executive of the NAEA, said: "At a time when a lack of mortgage finance is hindering first-time buyers, opting to buy with a friend or relative can represent a sensible way of getting into the market.

"Twice the number of bedrooms doesn't always mean twice the cost, so sharing the price of a home, and the deposit - as well as bills and maintenance costs - can make real financial sense. Importantly, both owners don't necessarily need to live in the property - a person living in London could invest in a town with lower house prices with a friend who lives there, and rent out the second bedroom.

"However, for anyone considering entering into a joint ownership I would stress the importance of a transparent, open relationship between all parties involved to ensure a smooth purchase and ownership process.

"Remember, this may be your home, but it's also a business transaction and one of the biggest decisions you'll ever take."

As a guide, NAEA recommends: .........