Co-Buying a Property

Co-Owenership Of Residential Properties

Osbornes Law and KFH Financial Services are proud to be able to work together to help you get your first step on the property ladder, and co-buying a property could be the best way forward for you. Speak to our property lawyers who will be happy to go through the co-buying process with you.

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The benefits of co-buying

There is no need to struggle any longer or to keep dreaming of properties that are out of your financial reach. Your constant saving for a large deposit and relying on a single income to make that important purchase could come to an end with a co-buying arrangement.

You would:

  • Save money on utility bills, council tax and household repairs by sharing the cost of these with your co-buyers.
  • Build equity through your investment in your new home growing (subject to positive market conditions).
  • Share the initial purchasing costs such as solicitor’s fees, surveyor’s fees, stamp duty land tax and search fees by sharing the cost of these with your co-buyers.

Ultimately buying a property with a mortgage is often cheaper than paying rent!

Speak to a Property Lawyer Today

For a free initial conversation call 020 7485 8811

Email us Send us an email and we’ll get back to you






    • "Great personal service from Simon and Emma. Always approachable and constantly looking for the best possible solution. Would definitely use their services again and have no hesitation in recommending them to friends and family!"

      Property Client

    • “Great service - we were kept informed of the progress of our sale without having to ask, Simon and Emma ensured the transaction ran to the agreed timetable and everyone we encountered in the firm were always helpful and friendly.”

      Property Client

    • “I highly recommend Simon Nosworthy… Our case was a bit more complicated than usual with a hard and fast deadline in the end. Simon has an eye for details and guided us through a frustrating conveyancing process. He got it over the line for us in the end which was a real joy to complete and move in”

      Property Client

    • I used Simon Nosworthy's team's services when selling a flat in N10, and would do it again in a heartbeat. The follow-ups were always prompt, and my questions were always answered quickly and accurately.

      Mathieu V, Google Review

    • I am much indebted to Simon Nosworthy and his staff for the efficient completion of our sale.

      Property Department Client

    What is a co-buying arrangement?

    • Up to 4 friends or siblings can buy together (subject to any lenders requirements)
    • Each of your savings for the property purchase will be pooled together to achieve the deposit required for your selected property.
    • Mortgages are available for this new co-buying arrangement.

    How the co-buying arrangement works

    Deposit – you and your co-buyers will put your savings together to make up the deposit for the property purchase

    Shared responsibility – you and your co-buyers would be equally responsible for the mortgage on the property plus the outgoings and repairs. We suggest that this is set up and recorded in a trust deed in the simplest way possible so it is easier to interpret in the future what was agreed at the outset of your purchase.

    Trust Deed – this will be prepared by Osbornes Law Property Solicitors to record the following:

    • Size of deposit paid by each co-buyer
    • Mortgage responsibilities – who pays what
    • The procedure for leaving the co-ownership arrangement
    • What happens if everyone decides to sell up
    • Financial split on completion of the sale

    The trust deed ensures that your interest in the property is protected in a predetermined way in the event that the co-buying arrangement no longer remains feasible.

    Your mortgage responsibilities

    Each co-buyers obligation to contribute towards the mortgage would be set out in the trust deed. It is important to note that when a property is mortgaged, then all the co-buyers are jointly and severally liable for the mortgage repayments. This means that if one person stops contributing towards the mortgage then the remaining co-buyers will be responsible for that person’s share.

    • "Great personal service from Simon and Emma. Always approachable and constantly looking for the best possible solution. Would definitely use their services again and have no hesitation in recommending them to friends and family!"

      Property Client

    • “Great service - we were kept informed of the progress of our sale without having to ask, Simon and Emma ensured the transaction ran to the agreed timetable and everyone we encountered in the firm were always helpful and friendly.”

      Property Client

    • “I highly recommend Simon Nosworthy… Our case was a bit more complicated than usual with a hard and fast deadline in the end. Simon has an eye for details and guided us through a frustrating conveyancing process. He got it over the line for us in the end which was a real joy to complete and move in”

      Property Client

    • I used Simon Nosworthy's team's services when selling a flat in N10, and would do it again in a heartbeat. The follow-ups were always prompt, and my questions were always answered quickly and accurately.

      Mathieu V, Google Review

    • I am much indebted to Simon Nosworthy and his staff for the efficient completion of our sale.

      Property Department Client

    What happens if I decide to leave the property and end my co-buying arrangement?

    If you want to leave the co-buying arrangement then the trust deed will set out the terms for doing this. It will state that you need to give notice of your intention to leave the co-buying arrangement and claim your share in the property. The remaining co-buyers can decide to pay you your share or sell the property.

    Selling up – how easy is the process?

    The conveyancing will be the same as the purchase of any property. In addition to this, you will need to have a trust deed prepared. There would be an additional cost for the preparation of this deed which would be a bespoke document setting out your co-buying arrangement.

    How do we manage splitting the finances when we come to sell?

    The trust deed will set out who will receive what in terms of the return of their deposit and a percentage share in the net proceeds of the sale of the property once it’s time to sell.

    Issues to be aware of

    1. There will be additional legal costs for the preparation of the trust deed.
    2. There may be additional legal costs to consider in dealing with any disagreements arising from the co-buying arrangement and the trust deed.
    3. If the co-buying arrangement and trust deed are complex then the arrangement for dealing with the same maybe complicated and difficult to follow.
    4. You need to trust your fellow co-buyers; this arrangement will not work for everyone.
    5. If the property is mortgaged then all borrowers will be jointly and severally liable for the mortgage. This means that each person will be potentially responsible for mortgage repayments in the event that one or more co-buyers stops paying towards the same.
    6. If you have a change in circumstances and you want to terminate the co-buying arrangement then the remaining co-buyers will need to either buy your share off you or sell the property. They may not want to do this or have the funds available to do the same. In these circumstances, you have a right to go to court to have this matter resolved.
    7. Obviously your financial interest in the property will only grow if the property prices continue to grow.

    We are highly experienced solicitors working together with mortgage providers to support and help our clients.

    Simon Nosworthy manages property transactions throughout England and Wales. His specialist team deal with buying, selling and leasing both residential and commercial property. They are hugely proud of their reputation for providing a first class, efficient and pro-active service.

    KFH Financial Services

    Philip King and Lee Watts co-founded Kinleigh as a specialist property management company and it has grown into one of the Capital’s most successful property services groups. With a team of over 800 staff and a network of 60 branches across the Capital, the business has diversified to provide a comprehensive range of property services Residential sales.

    Speak to a Property Lawyer Today

    For a free initial conversation call 020 7485 8811

    Email us Send us an email and we’ll get back to you






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