Would You Buy a House with a Friend?

Remember when “buying a house together” used to mean getting married first? These days, plenty of Australians are skipping that step and jumping straight to co-ownership — but with a friend.

With property prices continuing their Olympic-level high jump, more and more mates are saying, “Well, we can either keep renting forever… or buy a place together and see how it goes.” It’s a very 2020s kind of solution: practical, a bit daring, and definitely something your parents would raise an eyebrow at over Sunday lunch.

So, is buying with a friend a brilliant modern move or a recipe for awkwardness? Let’s unpack it.

The Upside: Why It Can Totally Work

1. You Actually Get a Foot in the Door

Let’s start with the big one: affordability.
Splitting a deposit, mortgage, and stamp duty with a friend can make home ownership suddenly possible. Two incomes usually mean a stronger borrowing capacity, and that’s half the battle in today’s market.

If you’ve both been renting separately, pooling your resources could turn two rents into one shared mortgage — and that’s a real step forward.

2. Shared Costs Mean Shared Relief

You’re not just sharing the purchase price. You’re sharing ongoing costs like rates, insurance, and maintenance.
When the hot water system breaks or the fence falls down, you only need to cough up half.

It’s a bit like having a flatmate, but instead of splitting Uber Eats, you’re splitting capital growth.

3. Built-In Accountability

Ever tried to save for a deposit alone? It’s all too easy to spend that “future house money” on new sneakers or weekend trips. But with a friend involved, you’re more likely to stick to a plan.

Having someone on the same mission — saving, paying off, maintaining — adds a layer of discipline that can make all the difference.

The Downside: Why It Can Get Messy

1. Different Life Stages, Different Goals

What if one of you wants to travel for a year, and the other is nesting?
Or one gets married, moves out, and suddenly wants to sell their share?

Friendship doesn’t always mean perfectly aligned goals. It’s essential to have very honest conversations about timelines, plans, and “what if” scenarios. It’s not romantic, but it’s smart.

2. Money Talk Can Be… Awkward

You might have been friends for ten years — but have you ever seen each other’s credit scores?
Buying property means sharing a lot of financial detail: pay slips, savings, debts, and spending habits.

And what happens if one person misses repayments? The bank doesn’t care whose turn it was; both owners are responsible. That’s a quick way to turn brunch buddies into tense co-owners.

3. Exiting Isn’t Easy

Selling your share of a property isn’t like selling a car. You can’t just stick a “for sale” sign on your half.
If one person wants out and the other doesn’t, things can get tricky — legally, financially, and emotionally.

That’s why it’s crucial to have a co-ownership agreement (ideally drafted by a solicitor) that outlines what happens if one person wants to sell, buy out the other, or refinance. It’s not about mistrust; it’s about being prepared.

The Middle Ground: How to Make It Work

If you’re both serious about co-ownership, here are a few practical (and sanity-saving) steps:

• Get everything in writing.

A co-ownership agreement should cover who pays what, how you’ll handle maintenance, what happens if someone wants out, and how profits (or losses) will be split.

• Choose the right ownership structure.

You can own as joint tenants (equal share) or tenants in common (unequal shares). Your solicitor can explain what’s best for your situation.

• Treat it like a business partnership — but with nicer furniture.

Keep communication clear and regular. Hold “house meetings” (yes, really) to talk about expenses, upgrades, and long-term plans.

• Think ahead about the “exit.”

Set an agreed review point — say, five years — where you both reassess whether to keep, sell, or buy each other out.

So… Should You Do It?

Buying with a friend can be a clever way to climb onto the property ladder sooner — especially for younger buyers feeling priced out of the market. Done well, it’s teamwork with real financial upside.

But it’s not something to rush into over Friday night drinks. It’s a serious commitment that ties your financial futures together.

If you’ve got a solid friendship, clear communication, and professional advice behind you, co-ownership can absolutely work.
If not… well, maybe just book that weekend away together first. If you can survive sharing an Airbnb bathroom, you might just survive sharing a mortgage.

Thinking about co-ownership or exploring your options?
The Page&Co team can connect you with trusted local lenders and advisors to help you plan it the right way — before you sign anything that could test your friendship and your finances.