Why Buy A House With Others?
If you want to buy a home but are living on a single income, you may feel like your task is twice as hard compared to the coupled-up house hunters out there.
Instead of being able to share the challenge of saving for a deposit and then meeting mortgage repayments, you’re faced with having to do everything yourself.
This needn’t be the case however, as it is possible to buy a property with family or friends, in what is called a tenants-in-common purchase.
This kind of purchase is popular with single first home buyers and investors and can even be the perfect solution for people in de facto relationships who don’t wish to become joint tenants.
Purchasing a house as tenants-in-common means you share the cost of the property with one or more other people and each of you then owns a portion based on your financial contribution.
This means you won’t have to save the deposit all by yourself, transaction costs will be less per person and everyone will help contribute to ongoing repayments and maintenance costs.
The home loans available for tenants-in-common purchases include most used for more traditional house purchases. In some cases you can mortgage each person’s share independently and first home buyers may still be eligible for the first home buyers grant.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.