What is a joint mortgage?

A joint mortgage is when you buy a property with someone else – usually a partner, friend or family member. It's a common way for couples to get on the property ladder, or for friends when buying solo feels out of reach.

With combined incomes, you might be able to borrow more than you could alone. Most joint mortgages are for two people, but some lenders allow up to four. And remember, you’ll each own the home but it doesn’t have to be a 50/50 split. If one of you puts in more deposit, you can agree on a bigger share.

Joint mortgages work just like a standard mortgage: you pay a deposit, borrow the rest, and make monthly repayments together. Everyone named on the mortgage is equally responsible for keeping up with payments.

Are you eligible for a joint mortgage?

Anyone can apply for a joint mortgage provided you meet the lender’s eligibility and affordability criteria. This means you could buy with your partner or spouse, family members, one or more friends, or even a business associate.

Whoever you choose to go into homeownership with, here’s what lenders usually check:

  • Combined income: Lenders will look at what you can afford between you when deciding how much to lend. Even if there are up to four of you applying, most will only use the two highest incomes to work out your borrowing limit. Typically, you can borrow up to 4.5 times your annual income, or joint annual income, though some providers may allow you to borrow more.

  • Credit score: A solid credit report (for both of you!) may improve your chances of approval, so it's worth checking if you can do anything now to boost your score.

  • Affordability: Expect lenders to dig into your outgoings as well as income. They want to know you can keep up with repayments comfortably.

Every lender’s a bit different, so it’s always worth comparing to find the right fit for your situation.

Do think carefully about who you team up with for a joint mortgage. You’ll become financially linked for the whole term of the mortgage, which can impact your credit score and chances of securing future finance.

One more thing… your home could be repossessed if you don’t keep up with repayments, so make sure you’re comfortable with what you can afford before taking the plunge.

What are our ownership options with a joint mortgage?

When you buy a property with someone else, there are two main ways to legally own it – and it’s worth knowing the difference.

Joint tenants

The go-to option for most couples. You both own the whole property together, not just a half each. If one of you passes away, the other automatically inherits the entire property. But if you split up and can’t agree on how to divide it, the courts may have to step in.

Tenants in common

Gives each person a defined share – say 50/50, or something else if one of you puts in more money. It’s a bit more flexible and makes things clearer if you part ways or want to leave your share to someone else in a will.

How much can I borrow with a joint mortgage?

One of the biggest perks of a joint mortgage is the chance to potentially borrow more than you could flying solo. That’s because lenders usually look at the combined income of the applicants when deciding how much to lend.

That said, if boosting your borrowing power is the main goal, keep in mind that most lenders will only take the top two incomes into account, even if three or four of you are on the application.

As a rough guide, you can usually borrow up to 4.5 times your annual income, though some lenders may offer you more. Going off this typical figure, if you earn £32,000, you could be offered £144,000. Add someone earning £28,000 into the mix, and you could potentially borrow £270,000. Of course, it all depends on your circumstances and the lender.

But income is just part of the picture. Lenders will look at several other factors to determine how much they’re willing to lend you:

  • Monthly outgoings: Lenders will consider your regular expenses like bills, credit card payments and childcare costs to make sure the mortgage is affordable for you both.

  • Affordability stress tests: Lenders will check if you could afford your mortgage if interest rates rise. If you’re borrowing more for things like home improvements, lenders will also want to ensure you can handle the increased payments.

  • Equity in your home: The more equity you have, the better your deal. A lower LTV ratio can help you access more competitive rates.

Pros and cons of a joint mortgage

A joint mortgage can be a great way to make homeownership potentially more affordable and achievable – but it’s not without its considerations. Here’s a quick look at the pros and cons to help you decide if it’s the right move for you.

Pros of a joint mortgage:

  • Get on the ladder sooner: If buying solo feels out of reach, teaming up with someone could be your ticket to homeownership, especially with house prices where they are!

  • Split the costs: From the deposit to the monthly payments, sharing the load can make home ownership way more manageable.

  • Borrow more together: Lenders often look at both your incomes, which can boost your borrowing power and help you afford a better home.

  • Bigger deposit = better deals: Pooling your savings means a chunkier deposit. That can open the door to better mortgage rates and lower monthly payments.

  • Split ownership fairly: You’ll each own the home, but it doesn’t have to be a 50/50 split. If one of you puts in more deposit, you can agree on a bigger share.

Cons of a joint mortgage:

  • You’re in it together: If one of you can’t pay, the other is responsible. This also means that missed payments could hurt both your credit scores, not just theirs.

  • First-time buyer perks could vanish: If just one of you has owned property before, you might miss out on first-time buyer schemes, even if it’s your first home.

Mortgage guides

Answering your questions about joint mortgages

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