Majority of Gen Z Willing to Buy First Home with Friend to Get Foot on Property Ladder

The majority of Gen Z Brits would consider getting a mortgage with a friend if it meant they could get their first foot on the property ladder, research by Purplebricks Mortgages reveals.

New research commissioned from Purplebricks Mortgages reveals more than eight in 10 (84%) of 18-24-year-olds would consider buying a property with a pal.

Some 18% said they were ‘very likely’ to get a mortgage with a friend, 29% said they were ‘quite likely’ and 36% said they would consider it.

Only half (51%) of Millennials would be willing to do the same, with the number of people prepared to share a mortgage with a friend falling even further the older they get.

In general, less than two-fifths (38%) of Brits would consider buying a house with a friend.

Home ownership and young people

Data released last year suggests around 0.5% of 18 to 24-year-olds in the UK own their own home, with only one in 10 Brits in the 25 to 34-year-old age group above being owners.

The Purplebricks findings come as the new Labour government pledges to put house-building at the front of its national agenda. 

According to the latest House Price Index report, the average UK property price for a house is £281,000 with the average Brit earning a pre-tax salary of £35,724.

Of the 2,000 adults polled for Purplebricks, Gen Z respondents were hopeful of getting on the property ladder before turning 30 - but a third seemed clueless about the responsibility.

A third (30%) of the 18 to 24-year-olds polled said they were unaware of the consequences of missing a mortgage payment, compared to one in 10 Millennials.

However, Gen-Zs have taken matters into their own hands with a clever solution - sharing their mortgage with a friend.

It may make sense to buddy up on a mortgage

Managing director of Purplebricks Mortgages, Jo Pocklington said: “Friends are like family to many of us, so it may make sense to buddy up on a mortgage.

“Sharing a mortgage could be the smart solution for young professionals who feel priced out of the property market, but understand the benefits of owning bricks and mortar,

“A mortgage lender will assess your situation the same way as any other joint-application - they will look for responsible spending and your ability to maintain monthly payments.

“But owning a home is not like a flat-share - people meet new partners, get new jobs, move abroad and make big life changes. That’s the beauty of being young and free.

“If you are seriously considering getting a mortgage with a friend, it would be prudent for each of you to ask yourselves where you think you will be in the next five or 10 years, as well as get advice from legal professionals.”