Rising home prices and high monthly payments are leading younger buyers to consider co-ownership as an alternative to solo homeownership. Co-buyers share the down payment, mortgage, and upkeep costs, increasing affordability and buying power. Joint tenancy and tenants in common are common ownership structures for co-buyers.

Co-buying a home involves two or more individuals purchasing and owning a property together, typically with a joint mortgage. Co-owners share resources and responsibilities, deciding on ownership structures like joint tenancy or tenants in common. A real estate agent or mortgage lender can help determine the best ownership structure based on individual preferences.

Affordability challenges in the housing market are pushing aspiring homeowners to explore nontraditional buying arrangements like co-ownership. Co-buying allows individuals to enter the market sooner, build equity faster, and access properties that might otherwise be out of reach. Combining incomes can strengthen mortgage applications and increase purchasing power.

Co-buying a home can be a smart way to make homeownership more attainable, but it comes with shared responsibilities. Co-borrowers are each responsible for the full mortgage payment, and missed payments can impact everyone’s credit. Discussing income, debt, savings, and contingency plans early on is crucial for stability.

Co-owners should have a written agreement outlining ownership shares, financial contributions, and responsibilities. Transparency about credit scores, income, and debts is essential to prevent surprises during the mortgage process. Open communication and alignment on lifestyle expectations can prevent conflicts and ensure a smooth co-ownership experience.

Read more at Yahoo Finance: How co-buying a house together really works