First time buyers are being offered group mortgages by mortgage lenders.This is quite understandable given the rising cost of properties these days.The main issue here is the deposit needed to acquire a decent mortgage deal with any of the main- stream lenders.The average price of a property is now said to be £200,000 which is 8 times the average salary. So two or more people might pull resources together and apply for a joint mortgage.This might seem like a good idea at the start but anyone who has ever had a fall-out with a business partner or been through a divorce will know how unpalatable such matters can turn out.
HSBC said thier lending on such mortgages is up 50% on last year.This means people are signing up .Like everything else caveat emptor.
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