How UK Families Are Buying Homes Together to Afford London

HOW UK FAMILIES ARE BUYING HOMES TOGETHER TO AFFORD LONDON –>

Between 2021 and 2024, the share of UK buyers applying for mortgages jointly rose from 49% to 53% — and in London, where the average first-time buyer price sits at £472,000, that shift is less a choice than a necessity. When a solo buyer needs a deposit north of £120,000 and a house-price-to-earnings ratio above 12 times salary, pooling resources with family or friends is often the only way in. This isn’t a niche arrangement anymore. It’s becoming a mainstream route onto the property ladder.

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This article is general information only and does not constitute professional advice. For your specific situation, consult a qualified professional.

53%
Buyers applying for mortgages jointly (2024)
Estate Agent Today

46%
First-time buyers under 35 open to buying with a friend or sibling
Estate Agent Today

£120k+
Average deposit needed by a first-time buyer in London
Shaded Canvas

7.71x
Median house price to median earnings ratio (2024)
UK Parliament Report

In 2024, 7% of prospective buyers planned to buy with a friend and 9% with a family member, according to survey data. That might sound small, but it represents tens of thousands of households quietly rewriting the rulebook on homeownership. What I tend to notice is that most people only start thinking about the legal side after they’ve already found a property and agreed a budget — and that’s exactly when costly gaps appear. Here’s what you actually need to know.

Affordability is the main driver
60% of co-buyers cite pooling savings as the reason. In London, a solo deposit can take 15+ years to save. Joint buying cuts that timeline sharply.

Trust is high — but not enough
56% of co-buyers say strong trust in the other person drives the decision. But without a legal agreement, that trust can become a liability when circumstances change.

Ownership structure matters more than most realise
Choosing “joint tenants” over “tenants in common” — or the reverse — has major implications for selling shares, inheritance, and what happens if a co-buyer wants out.

Exit planning is the part most people skip
A deed of trust or co-ownership agreement should cover what happens if someone loses their job, wants to sell, or dies. Without it, the only option is a forced sale or a court case.

When two or more people buy a home together without being married, they typically hold the property as either joint tenants or tenants in common.

Tenants in Common
A form of co-ownership where each person owns a distinct share of the property — which can be unequal — and can sell or pass on their share independently. This is the usual choice for friends and family members buying together.

What I’d do first is check whether you and your co-buyer are on the same page about shares, contributions, and what happens if one of you needs to leave. The wider market conditions in London make joint buying a sensible move, but only if the structure is right from day one.

What joint buying costs in London versus going solo

The headline figures are stark. A first-time buyer in London needs an average deposit of £120,000 or more — roughly 25% of the purchase price. Nationally, the figure is £60,000–£64,000. For a solo buyer earning the median London salary and paying £1,400 a month in rent, saving that deposit can take over 15 years. That’s not a choice between a flat and a house. It’s a choice between buying eventually or not buying at all.

Joint buying changes the arithmetic. Two people pooling savings halve the deposit timeline. But the total transaction costs don’t halve — stamp duty, legal fees, and survey costs still apply to the full purchase price, and the English Housing Survey data shows that 58% of private renters still expect to buy at some point. The question is how.

→ Scroll right to see all columns

Source: Shaded Canvas FTB data
Cost factorSolo buyer (London)Joint buyers (2 people, London)
Average purchase price£472,000£472,000
Typical deposit (25%)£118,000£59,000 each
Stamp duty (FTB, £472k)£8,600£8,600 total
Legal & survey fees (est.)£2,000–£3,000£2,000–£3,000 total
Years to save deposit (est.)15+ years5–8 years
Stamp duty doesn’t care how many people are buying
A £472,000 property bought by two first-time buyers still incurs stamp duty on the portion above £300,000. At 5%, that’s £8,600 — split between the co-buyers, but not reduced. The nil-rate threshold for first-time buyers in England is £300,000, down from £425,000 in April 2025.

A scenario worth running: two siblings buying a £472,000 London flat each put in £59,000 for the deposit. Their combined mortgage is £354,000. At a 4.5% rate over 30 years, the monthly payment is roughly £1,800 — higher than many rents, but building equity. Each pays £900. That’s doable for many dual-income households. The catch is that both sets of affordability checks apply, and lenders will look at both incomes and both credit histories. If one has a patchy record, the whole application can stall.

Three mistakes that sink joint home-buying arrangements

No deed of trust from the start

This is the most common and most expensive gap. A deed of trust is a legal document that records each person’s share of the property and what happens if someone wants to sell. Without it, the default position under English law is that the property is owned equally — even if one person put in 70% of the deposit. If the relationship sours, the only way to resolve a dispute is through the courts, which can cost thousands and take months. A solicitor drawing up a deed of trust typically charges £300–£800, depending on complexity. Compared to the cost of a contested sale, that’s cheap.

Assuming equal shares makes sense

It’s natural to split things 50/50 when you’re buying with a friend or sibling. But if one person contributes a larger deposit or pays a bigger share of the mortgage, an equal split is unfair. The research shows that 30–40% of first-time buyers receive family financial assistance, with an average gifted deposit of £25,000–£30,000. If one co-buyer’s parents chip in that amount and the other’s don’t, a 50/50 split doesn’t reflect reality. A tenants in common arrangement with unequal shares — say 60/40 or 70/30 — is more accurate and avoids resentment later. The deed of trust should specify exactly how sale proceeds are divided, not just ownership shares.

No plan for exit or change of circumstances

Life happens. A co-buyer loses their job, gets married, or needs to move cities for work. If the agreement doesn’t cover what happens then, the remaining owner is stuck. The research from estate agents and legal professionals is consistent: the most common source of conflict is not the initial purchase but the exit. A good co-ownership agreement should name a buyout mechanism — how the departing owner’s share is valued, who can buy it, and how long the remaining owner has to raise the funds. Without it, a forced sale is the only option, and in a slow market, that can mean selling at a loss. A property lawyer can draft an agreement that covers these scenarios before you exchange contracts.

How to structure a joint purchase that actually works

Choose your ownership structure before you view a single property

There are two legal routes for co-owning property in England and Wales: joint tenancy and tenancy in common. Joint tenancy means you own the whole property equally and if one owner dies, their share automatically passes to the other. That’s standard for married couples. Tenancy in common means each owner holds a distinct share — which can be unequal — and can leave their share to someone else in a will. For friends, siblings, or unmarried partners, tenancy in common is almost always the better choice. It gives each person control over their own share and makes exit planning straightforward. The choice is made at the point of purchase and can’t be changed without both parties’ agreement.

Get the mortgage right — joint applications have different rules

Joint mortgage applications are assessed on both applicants’ income, credit history, and outgoings. Lenders typically use the lower of the two credit scores, not the higher. If one co-buyer has a poor credit history, the whole application may be rejected or offered at a higher rate. Some lenders also limit the number of borrowers to two, which can be a problem if three siblings want to buy together. A mortgage broker who specialises in joint purchases can help identify which lenders accept multiple borrowers and what rates are available. The Homes England delivery data shows that affordable housing starts rose 12% in 2025–2026, but joint buyers typically fall outside formal shared-ownership schemes — they’re arranging their own private deal.

Draft a co-ownership agreement that covers the hard conversations

A co-ownership agreement (often called a declaration of trust) should be drawn up by a solicitor and signed before exchange. It should cover: each person’s contribution to the deposit and purchase price; how mortgage payments, maintenance, and improvements are split; how sale proceeds are divided; what happens if someone wants to sell; a buyout mechanism and valuation method; and what happens if someone dies, becomes incapacitated, or defaults on payments. The agreement isn’t romantic — it’s practical. The research from Lloyds Bank and others is clear: the arrangements that work best are the ones where everything was written down before the keys were handed over.

Plan for the long term — because the average owner stays 8.9 years

English Housing Survey data shows that owner-occupiers buying with a mortgage stay in their home for an average of 8.9 years. That’s nearly a decade. A lot can change in that time. One co-buyer might meet a partner and want to move in together. Another might need to relocate for work. The co-ownership agreement should include a review clause — say, every three years — where both parties can revisit the arrangement. It’s also worth storing the agreement somewhere secure, alongside mortgage documents and property deeds. A small safe for important documents is a practical step that too many co-buyers overlook.

Frequently asked questions about buying a home with family or friends

Can I use my Lifetime ISA if I’m buying with someone else?
Yes. Each co-buyer can use their own Lifetime ISA, and the 25% government bonus applies to each account separately, up to the £450,000 property price cap.
What happens if one co-buyer stops paying the mortgage?
Both co-buyers are jointly and severally liable — the lender can pursue either person for the full amount. A co-ownership agreement should cover how missed payments are handled.
Can I buy a property with three people instead of two?
Yes, but fewer lenders offer mortgages for three or more borrowers. A specialist broker can help. The ownership structure should be tenants in common with clearly defined shares.
Do I pay stamp duty on the full property value or just my share?
Stamp duty is calculated on the total purchase price, not your individual share. The first-time buyer relief applies if all co-buyers qualify as first-time buyers.
What if one co-buyer dies — does their share go to the other owner?
Only with joint tenancy. With tenants in common, the deceased’s share passes according to their will or the rules of intestacy, not automatically to the other owner.
Is a deed of trust the same as a co-ownership agreement?
Not exactly. A deed of trust records financial shares and sale proceeds. A co-ownership agreement is broader — it covers responsibilities, maintenance, and exit scenarios. You need both.

Joint buying is reshaping who gets to own a home in London

When 46% of first-time buyers under 35 say they’d buy with a friend or sibling, and the average London deposit sits above £120,000, the old model of solo homeownership isn’t just difficult — it’s increasingly unrealistic. Joint buying isn’t a compromise. It’s a structural response to a market that has priced out single incomes. The families and friends who get it right are the ones who treat the arrangement as a legal partnership from the start, not a handshake deal. Done properly, it’s one of the most effective ways to build equity in a city where doing it alone is no longer an option for most.

Remember: this article is general information only. For advice on your specific situation, speak to a qualified professional.

If this was useful, you might also want to read Future-Proofing Your Property: Investing in Tech for a Modern UK Home.

Sources and Further Reading

Apartment Buying in the UK: Is It Really Cheaper Than a House? — Compares the full costs of flats versus houses, including service charges and ground rent, which is useful for co-buyers deciding between property types.

7 Hidden Dangers of New Build Apartments UK Buyers Ignore — Covers cladding, service charge escalation, and building safety documentation — essential reading for co-buyers looking at modern flats in London.

Estate Agent Today (2026). Shared ownership rises thanks to family and friends. 🔗

UK Parliament, Levelling Up, Housing and Communities Committee (2025). Report on the Affordability of Home Ownership. 🔗

Shaded Canvas (2026). First-Time Buyer Statistics UK 2026. 🔗

Ministry of Housing, Communities and Local Government (2026). Housing Statistics 1 April 2025 to 31 March 2026. 🔗

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Sam Willy

I’m Sam Willy, one of the bright minds behind BritWealth.com, where I share insights, stories, and fun ideas about a wide range of topics—finance included, but not limited to it! My journey into the world of writing began with a simple hobby: sharing the things that fascinated me. From quirky facts to deeper dives into personal development, I’ve always been curious about the world around me and love passing that knowledge on.
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