My wife and I would like to buy a house with another couple, is this a do or a don't?

Question

I am in the Air Force and I have a wife and a one year old son. There is another couple which the husband is also in the Air Force (friends) who have a new born. Both of us would like to buy a house but buy ourselves neither are ready. Would it be a good idea for us to go 50/50 on a house together?

Answer 1

no.  How about buy a house half as big for just yourselves.

Answer 2

I don't think so

Answer 3

I wouldn't.  What happens if they stop paying their half?  What happens if they break up or you have a falling out?  Who gets the house

Answer 4

maybe a duplex. but everyone likes to live diffrently. it's rare enough to find 2 people who can handle co existing ogether much less 4

Answer 5

It's a BIG DON'T!!!   First issue is liability.  If for some reason your friends get suited - the courts can force the sale of the property and you would be on the streets.  Never be responsible for anothers liabilities.

Other negatives are divorce, death of an owner, financial obligations.  

Think about buying a condo or saving up the money to buy when you are ready.  

Good luck,

VP

Answer 6

It's an incredibly bad idea.  This is a deal that may be easy to get into but breaking up will be an absolute nightmare that will turn all of you into mortal enemies and may drive you into bankruptcy.  Thankfully, it's likely that no bank will issue a mortgage for this kind of arrangement.

Answer 7

Sure, as long as you enjoy legal fiascos later.

As yourself this... how will you buy the other couple out if they decide they no longer want in on the deal (or they get desperate for money and demand that you sell it)?

What will you do if you can't sell later, because the market has dropped below what you owe?