Do you rent or own?

[Van D]

May be stupid and I don't want to de-rail too much.. but.

Me and a few mates want to move out next year. But we want our own place that we can work on the backyard (good BBQ area) + shed for me and a sound proof a room etc and figure there won't be many land lords interested in that (not to mention pets and smoking etc).

Is it a viable option for a group of friends (or at least two of us) to buy a house? It's mainly me and one other mate who want to move out real bad. We figured either 4 of us could split the house payments etc and if one moves out we all do or work something else out. The other option we thought was me and my mate who want to move out badly and would be happy to be housemates for quite a while could buy the house, then have a couple friends just paying rent which would go towards the payments.

Is it even possible?

[Pinch]

Originally Posted by Van D

May be stupid and I don't want to de-rail too much.. but.

Me and a few mates want to move out next year. But we want our own place that we can work on the backyard (good BBQ area) + shed for me and a sound proof a room etc and figure there won't be many land lords interested in that (not to mention pets and smoking etc).

Is it a viable option for a group of friends (or at least two of us) to buy a house? It's mainly me and one other mate who want to move out real bad. We figured either 4 of us could split the house payments etc and if one moves out we all do or work something else out. The other option we thought was me and my mate who want to move out badly and would be happy to be housemates for quite a while could buy the house, then have a couple friends just paying rent which would go towards the payments.

Is it even possible?

Firstly, it is possible - and increasingly common for non-traditional 'groups' to buy houses. I am not an expert, so maybe someone can help me out with the finer details. The laws differ from state to state but a number of people can buy property and each is a registered owner. One of the first things you need to do is get a real estate solicitor to draw up the terms of the deal. Ie who pays what contibution, what interest (share) each has in the property, what happens if one party wants to sell and the other doesn't, what happens if one person can't/won't pay their contribution etc. This agreement is a must. See if you have a cheap solicitor option though your union if you are in one, or motoring organisation etc.

It goes without saying that you (and all purchasers) need to be on the Certificate of Title (or whatever it is called in your state).

I know a few people who have done it, got the right contracts done, and all sweet. Otherwise they would have been left behind.

Personally, my wife and I bought a villa in southern Sydney RIGHT AT THE HEIGHT of the boom in early 2004 :( Notionally it has lost about 5% in value, but it was a 'renovation special' which I have put 3 years (of on and off weekend work) and 20K in materials into so it has gone up a fair bit and the capital value in our area is now starting to rise so all good.

Got in on a 5% deposit and paid mid 200K's, first NSW home buyer so entry costs weren't that much.

Even though the place is small, but has a small yard (and I have to rent a 2nd garage from a carless neighbour) it really is nice having the place they way I made it, even though for the same coin I could rent a 4 bedroom house with inground pool nearby! BTW I am 28 and married so that makes it easier on 2 incomes.

[The Yeti]

rent rent rent I have a house thats un ocupied and its costing me a bomb if more people would rent I would be doign alot better, but hay at the end of the year it will ber really negative LOL

[chich]

Originally Posted by Van D

Is it a viable option for a group of friends (or at least two of us) to buy a house? It's mainly me and one other mate who want to move out real bad. We figured either 4 of us could split the house payments etc and if one moves out we all do or work something else out. The other option we thought was me and my mate who want to move out badly and would be happy to be housemates for quite a while could buy the house, then have a couple friends just paying rent which would go towards the payments.

Is it even possible?

Thats just asking for something to go wrong in my opinion...

[TeamQldRacing]

We are looking at the possibility of group ownership of our place opposite Lakeside Raceway ... the people interested in buying shares are all interested in the race track in some way, we worked out a plan to do 10 units with an equal share in the property (18.5 Acres) giving each shareholder a new 2 bedroom unit and effectively 1.8 acres for around $250 000, roughly the price of of a small 500m2 block of land without the house. costs like rates etc become divided by 10 so its a cheap option for the price (a 2 acre block around here would be over 500K) so anything is possible it just needs some imagination.
cheers

[mongoloid]

Check this link out it may change your mind in the whole rent vs buy debate...

http://www.ibisworld.com.au/sunrise/...hipleasing.pdf