In an emerge, share responding to London’s high cost of housing, four friends have come together to buy a home. Francesca, Graeme, Sonja and Kieran are all 34 years old, and they have been best friends since school and university. They agreed to combine their considerable financial resources to make a real estate investment together. In 2022, they bought a three-bedroom apartment in north-east London for £650,000. They think this ground-breaking achievement would never have been possible without each other’s encouragement.
As Francesca and Graeme explained, they would only be able to envision themselves purchasing a home valued at £350,000-£400,000. This was contrary to their experience had they been continually looking for a property themselves. Yet by pooling their income with one another, they multiplied their choices and leveraged many times over. The unique arrangement has helped them save money by pooling resources, enabling them to share expenses like groceries, childcare and meal prep.
The two couples have handily interlaced their lives since childhood. Francesca and Sonja gave birth to their babies just four months apart, and the little ones are already bonding like siblings. This close-knit combination of blood and chosen family has produced a fierce protective support network. It supports both newlywed couples as they face the challenges of parenthood and homeownership, hand in hand.
When Kieran’s friends and family ask what they’ve decided with their living situation, their response has been pretty well received. He stated, “Whoever I tell about it, they always think it’s a great idea and they like it.” He argued for crystal-clear terms and conditions and strong communication in these sorts of informal agreements. He cautioned against operating without a written agreement. This document should cover such forecasts as mortgage payments and how to handle the situation in the event one party takes a desire to move out.
“You have to be confident with who you’re living with and be very open with your finances and your family plans – and have a timeline,” – Kieran
Sonja has an interest in communal living across the lifespan. “I think there’s something sad when your networks narrow. I see huge value for this type of investment in retirement as well,” she remarked. This optimism is indicative of their overall sense that living together can strengthen support systems for each other and build lasting relationships.
What Francesca, Graeme, Sonja and Kieran have gone through is far from unusual in London. Mirko and Lorenzo, both long-time friends and creative partners, were looking to purchase a spare flat. When they calculated it they found they’d already spent a jaw-dropping £160,000 on extortionate rent. Mirko expressed their motivation: “Why, instead of paying rent, don’t we pay a mortgage?” This question underscores a critical trend among today’s young professionals in search of financial remedies between rising rental expenses.
Mirko emphasized the best practice learned after years of friendship and respect as the bedrock of their decision. “We’ve known each other so long, we trust each other. We can do that,” he stated. He communicated how the bond created through these agreements can often go beyond that of conventional partnerships. “The bond you can have with a friend is bigger than a bond you can have in a relationship,” he added.
Both Kieran and Mirko warn that communal living isn’t for everyone. Kieran understood the complexities at play. He highlighted that their model is working for them, but it is not a model that can be replicated as the silver bullet solution.
“If anything, moving in just the two of us felt like a bigger step,” – Francesca
These two pairs of buddies are delightful reminders that pooling our resources can be a truly magical solution. Together, they’re outsmarting the increasingly competitive housing market. As shared homeownership gains traction among young professionals, the emphasis on open communication and mutual respect remains paramount.
