With increasing energy costs, the prospect of interest rate increases and recent changes to mortgage rules, the dream of home ownership may seem like it's out of reach. Well don't give up on that dream just yet. There are alternative solutions to home ownership that people are starting to consider.
There is no law that says 2 people have to be married or co-habitating to own a home together. There is no law that says 3 or more people can't own a home together. So before you give up on the idea of home ownership consider buying a home with a brother or sister, an aging parent or even friends or co-workers. It has been done successfully and is gaining in popularity. Granted, there are different challenges to be faced when buying a home with a friend or sibling but the benefits are the same.
As a conscienious real estate consultant I would all but insist on a properly drawn up, legal co-habitation agreement complete with an exit strategy for when the time came to part ways. Goals, rules, how potential problems would be solved should all be discussed prior to even looking at homes.
But think about it. What are you paying for rent now? You are throwing that money away every month paying your landlords mortgage. Plus, after your rent is paid, what is left to save for a down payment or have for other expenses? Wouldn't it be worth living with someone else for perhaps 5 years and allowing your equity and your savings to build? Just a thought....