High Prices Causing Home Buyers to Pair Up

By: Loretta Phinney Team

High Prices Causing Home Buyers to Pair Up

Tags: Real Estate, Mortgage Rules, Home Buyers, Housing Market

Many people buy their first home with a romantic partner, but this isn’t the type of “pairing up” that has been increasing alongside rising real estate prices.
 
Tougher mortgage rules and high prices for both renters and buyers is leading to a new trend; home buyers joining up with a family member or friend to make a purchase. Although these types of arrangements are not ideal, the growing prevalence of such arrangements is attracting attention.
 
Many mortgage brokers are now offering products that cater specifically to these situations, with some allowing as many as four people to sign on to a mortgage together. These multi-party mortgages can occur for investment properties but also with people looking for help in purchasing a home live in.
 
Whether this trend becomes a staple of the housing market or not is yet to be seen, but there is no denying that the current real estate climate is changing how people conceive of living situations. Renters pairing up with roommates has long been a large part of the rental market and now even home ownership could have a similar characteristic.