Tenants consider co-buying with friends or family members, says bank

Tenants consider co-buying with friends or family members, says bank


Todays other news


Some 51% of young first-time buyers are willing to consider so-called ‘non-traditional routes’ to move out of renting and onto the property ladder – like purchasing with a friend or sibling.

While 62% of under-35s responding to the Lloyds Bank survey still say they would prefer to purchase their first property with a partner, many are now looking to alternative routes into home ownership.

The most common reason for first-time buyers to consider purchasing with a friend or sibling is to make it more affordable (60%) and because they trust the person (56%), with 14% thinking they would have no other way to buy. However there are some perceived barriers to buying with a friend or sibling.

Even traditional reliance on parents to support a first property purchase may be at risk, as half (48%) of young first-time buyers would feel ashamed of borrowing money from family for a deposit compared to just one third (34%) who would feel confident. 

Young people are pioneering this new trend towards non-traditional ways of buying, with one third (32%) of 18 to 34-year-olds who have yet to buy a property reporting that they “don’t care how” they buy a home as long as [they] get onto the property ladder.

Amanda Bryden, mortgage director at Lloyds Bank, says: “While many of us may picture our first property purchase as a home purchase with a partner, this new data shows that more people are open to buying with a friend or sibling than many would expect.

“Buying with a friend or sibling can be appealing because you have probably known this person for a long time, but this new data also shows that people don’t always feel confident broaching financial subjects.

“Just as you should when purchasing with any other person, we would always suggest that you speak with a qualified solicitor about the implications of a shared property purchase, to ease your future progression if you do choose to sell further down the road.

“While a wider variety of options exist for people to purchase their first property, these are only suitable for people if they are able to discuss financial topics openly which is why we are trying to help first-time buyers discuss financial topics”.

Share this article ...

Join the conversation: Login and have your say

Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions. All comments are screened using specialist software and may be reviewed by our editorial team before publication. Letting Agent Today reserves the right to edit, withhold or delete comments that violate our guidelines, including those that harass, degrade, or intimidate others. Users who post such content may be banned from commenting.
By commenting, you agree to our Commenting Terms of Use.
Recommended for you
Related Articles
Andrews Property Group is under charitable ownership...
The supplier says half of its clients now use open...
The Bank’s monetary committee has made its decision...
The Welsh Government is backing the call for a 'compensation'...
There will be a greater emphasis on digitisation....
A consultation document is being released today....
Recommended for you
Latest Features
Andrews Property Group is under charitable ownership...
New tenancies in England and Wales are at their lowest...
The Scottish system would differ from the UK system in...
Sponsored Content
Tenants want a place they can call home—somewhere comfortable, safe,...
Letting agencies face the dual challenge of keeping both landlords...

Send to a friend

In order to send this article to a friend you must first login. Click on the button below to login or sign up.

No one likes pop-ups ...
But while you're here