Half of first-time buyers considering property purchase with friend or sibling

Look to the future: When buying a property, it is important to consider that circumstances can change. This includes everything from finding a new partner to a job change or relocation, which can all impact on your original plan. To mitigate any issues down the line it is wise to draw up an exit strategy agreement should one of you want to sell or move out before the other.

“It’s totally understandable that many people don’t feel particularly comfortable discussing finances. Whether it’s the classic British approach to money or perhaps negative experiences in the past, it’s easier to start those conversations if you feel you have a good starting point.”

Four in ten (37%) who said they would not consider buying with a friend or sibling said they wouldn’t want to complicate their relationship, and one third (32%) reported that they were unsure how buying in this way would affect potential plans to move out and purchase with a partner in future.

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”.

The first step onto the property ladder can feel overwhelming, and with the wide variety of options available the best thing an aspiring first-time buyer can do is understand their options and get advice from those they might wish to purchase with.

Lloyds Bank offers a range of mortgage options for a range of needs.