Buying A Home With Friends - Can It Work The Pros and Cons

Buying a home with friends is an option for those facing challenges in purchasing a single-family home in the soaring Toronto real estate market. There are pros and cons to buying a home with friends. The pros include easier home loan qualification, shared monthly expenses, and home equity gains, while the cons include difficulty moving, potential credit score damage, and difficulty qualifying for other loans. To ensure a fair arrangement, the parties should get everything in writing, split the house evenly, determine the percentage split of the home based on square footage, layout all cost splits, create two bank accounts, and set a time each month to review expenses and costs.