Healys: Joint ownership
Catherine Taylor of Healys LLP on rising house prices & joint property owners
If the media are to be believed, house prices are on the up and are in fact scheduled to rise by approximately 11% in the next three years. The average house price in the UK by the end of the year will be £166,418 but for those of you who live in Brighton and the surrounding areas the idea of purchasing a property for that sum would be near impossible. Estate agents have advised that they have seen the return of sealed bids and gazumping with the demand in Brighton property being fuelled by deep-pocketed buyers moving out of London, having made a large profit on their London property. The increase in house prices has led to people who may have purchased a property on their own joining forces with family or friends simply to get on the property ladder. But buying a house with someone else is not without its pitfalls and it is always wise to try and avoid any potential areas of dispute before they occur.
“If the property is not funded by both parties equally, contact a solicitor who specialises in drafting Declarations of Trust”
The areas of dispute between joint property owners could be what percentage of the house you should own, who paid the lion’s share of the deposit and stamp duty, who will be responsible for the mortgage and upkeep of the property and what will happen when one party wishes to sell. When buying a property, your conveyancer should ask how the property is being funded and, if the property is not being funded by both parties equally, then should recommend that the parties contact a solicitor who specialises in drafting Declarations of Trust in order that the parties can discuss their options, decide on how they wish the property to be registered and formally record their wishes in a Declaration of Trust.
At Healys LLP we regularly advise clients about protecting their interests in what is possibly one of the most expensive purchases they will ever make.
Please feel free to telephone us on 01273 685888 to discuss the above. Alternatively, you may choose to email us at either of the addresses below:
Catherine Taylor: catherine.taylor@healys.com
Kathryn Sawyer: kathryn.sawyer@healys.com
