Buying a home with family or friends: co-ownership basics
Co-buying with parents, siblings or friends is increasingly common in the GTA. Good planning protects the relationship.
How you hold title
- Joint tenancy: equal shares; if one owner dies, their share passes to the others.
- Tenants in common: shares can be unequal, and each owner's share passes under their will.
Your lawyer will explain which fits.
The mortgage
Every borrower is usually jointly responsible for the whole mortgage, not just their share. Lenders assess all incomes and debts together.
Put it in writing
A co-ownership agreement should cover:
- Each person's contribution to the down payment and costs
- How monthly costs and repairs are shared
- What happens if someone wants to sell or cannot pay
- A buy-out formula and timeline
Tax and first-time buyer benefits
First-time buyer refunds and rebates can depend on each person's status. Get advice before you sign.
Book a call to plan a joint purchase with Dinesh.
What does this mean for you?
Book a free 15-minute call and Dinesh will walk you through how it affects your plans.
