Organised co-buying 'can be good option'

The difficulties of paying a mortgage in London and elsewhere are making it more and more attractive for young property-seekers to buy together, it was claimed.

Many of those priced out of buying alone will seek rental property, but for those still wishing to get on the ladder in some form, first time buyer support firm FirstrungNow.com said that co-buying could work out well, as long as detailed arrangements are made.

Acknowledging that joint buying would not be ideal for all, the firm claimed that there were still plenty of co-financing and co-buying options and means of minimising the risks of committing to a mortgage together.

Helen Adams, managing director of FirstrungNow.com, said: "These days people are having to buy with other people; either through co-finance or co-buying with someone to make progress.

"I would say teaming up with someone else; either joint ownership, buying with a friend, or shared ownership, through the government's Homebuy scheme are good opportunities."

She added that those engaging in joint mortgages should ensure they have a tenancy in common, a trust deed drawn up to confirm part ownerships of the property, and a cohabitation agreement, laying out the equity and rental arrangements should one buyer move out.

Published 15th January, 2008

© 2008 Estates IT Limited

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