Buying a home together

More people are buying with a friend, sibling, parent or partner. It can make owning possible sooner. Here's how to split the costs fairly, and what to agree before you sign.

These numbers are estimates only and may not be accurate. They depend on your real interest rate, credit, income and the home's actual taxes and insurance. Contact us for accurate figures; it's free and there's no obligation. The starting interest rate (6.5%) is an example only, not a quote: your rate depends on your credit, loan type, down payment and the market, and can be higher or lower. Change it to see the difference.

The home

Home price ($)

Closing costs (% of price)

Interest rate (%)

Loan length (years)

Property tax ($ a year)

Home insurance ($ a year)

HOA ($ a month)

Buyer 1

Name (optional)

Cash they put in ($) toward down payment and closing

Their yearly income ($)

Buyer 2

Name (optional)

Cash they put in ($) toward down payment and closing

Their yearly income ($)

Buyer 3 (optional)

Name (optional)

Cash they put in ($) toward down payment and closing

Their yearly income ($)

How to split it

Split the monthly payment

If you sell after

Home value rises each year (%)

Cost of selling (%)

Total monthly payment

—

Down payment together
Loan amount
Money left if you sell after

Buyer	Puts in	Owns	Pays a month	Gets on sale

Ownership here follows the cash each person puts in. If you split the monthly payment differently, agree in writing how the extra principal one person pays is credited.

Estimates only. Contact us for accurate figures: free, no obligation.

Your full name

Mobile phone

Ways to buy together

Co-borrowing: everyone is on the loan and the title. All incomes count, and so do all debts and credit scores.
A family member as co-signer: they help you qualify but may not live there. Their credit is on the line too.
House hacking: buy a duplex (up to four units with FHA) or a home with a spare room, live in part and rent the rest.
Renting a room to a lodger: the rent can help with the payment, but lenders may not count it as income.

Put it in writing before you buy

Who paid what, and each person's share of ownership.
How the mortgage, taxes, insurance, repairs and upgrades are split.
What happens if someone can't pay, loses their job or wants to leave.
How a buy-out price is set, and how long the others have to buy.
What happens on a death, a marriage or a breakup.

A real estate attorney can draft a co-ownership agreement. It costs far less than a dispute later.

Common questions

Can friends or family buy a house together?

Yes. Two or more people can buy together and be on the loan together (co-borrowers). The lender looks at everyone's income, debts and credit, so one person's low score or high debts can affect the rate or approval.

How should co-buyers hold the title?

Common choices in Florida are tenants in common (each owns a share, which can be unequal, and passes to their heirs) and joint tenancy with right of survivorship (equal shares that pass to the other owners). Married couples can use tenancy by the entirety. A real estate attorney or title company can explain which fits you.

Do we need a co-ownership agreement?

It's strongly recommended. Put in writing who paid what, who owns what share, how the bills are split, what happens if someone can't pay, and how a buyer-out or sale works if someone wants to leave.

What is house hacking?

Buying a home and renting out part of it, such as a room or one side of a duplex, so the rent helps with the mortgage. FHA loans allow up to four units if you live in one.

For education and planning only. Approximate estimates; not legal, tax or financial advice. Not a loan offer, approval or commitment to lend. Example rates are for illustration only; rates can change and may not be available at commitment or closing. Rates, terms, taxes, insurance and program rules vary and change; your actual numbers may differ. Mortgage services by Bill McElhill, NMLS #2176490, licensed in Florida, Georgia and Texas.

Buying a home together

The home

Buyer 1

Buyer 2

Buyer 3 (optional)

How to split it

Ways to buy together

Put it in writing before you buy

Common questions

Your next step

Buying together? Let's check the numbers