Group Mortgage

The group mortgage is a relatively new type of mortgage offer. It’s main characteristic is that 2 to 4 people can jointly take out a mortgage for the purchase of a property. Once the mortgage application is considered all the incomes of the mortgage participants will be considered, thus raising the maximum amount that can be borrowed.

If, for example three people take out a mortgage jointly, each will eventually own a third of the property. Each of their credit histories will be checked and a bad rating on one of the members will negatively affect the whole group.

In the event that you opt for such a mortgage it is important that all the members participate in every stage and decision related to the mortgage. These decisions would include the choosing of the actual property, the interest rate of the particular mortgage, the repayment option and the clauses attached to the mortgage.