How to buy a house with a friend and not fall out

First-time buyers without a spouse or long term partner are increasingly turning to friends and siblings to get a foothold on the property ladder in London and the south-east, the most expensive region of the country.

With the average house price in the capital now at a record £499,000 for many buying alone is no longer affordable.

But buying with a mate can cost more than money, and often puts a valuable friendship in jeopardy.

Read my tips on how to co-own with a chum.

A family friend might sound like a good option and could be cheaper but the relationship needs to be owned equally by both parties.

3. Ensure the paperwork is water tight.

What if one is putting more equity down than the other, ensure this is fairly represented in either the split of repayments or the share of the profit when it's time to sell.

4. Vastly differing wage packets can cause problems.

The deposit and monthly repayments are not the only costs. Maintenance bills such as a faulty boiler can come from nowhere and need to be paid for equally.

5. Are both bedrooms a similar size?

It is tricky to find a typical first-time buyer property with equally weighted rooms and yet this can cause long-term resentment. Reflect any disparity in household bills or swap every year.

6. Make sure your lifestyles are compatible.

Does one of you like to throw wild house parties while the other likes a quiet life?

7. Do you have similar standards?

Some people become much for house proud when they move from rented accommodation to their own home. Different levels of cleanliness can cause a rift.

8. Set house rules about guests, albeit casual relationships, serious partners or other mates.

You have bought a place with your friend, not your friend's boyfriend / girlfriend and their pals.

9. Have a mutually-agreed exit strategy from the start.

What if circumstances change and one of you gets engaged or loses their job? Make sure you both talked about an exit plan that works for both parties.

10. Have a regular date night.

Make time for each other. The danger is you'll take each other for granted as you now live together and spend your week socialising with other people. If the relationship goes from friendship to financial convenience it will fall apart.

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