More than 60 per cent of home buyers and investors plan on buying a property with their partner this year, according to the latest research by the Real Estate Buyers Agents Association (REBAA) and Property Talk Australia (PTA).
According to the 2021 REBAA & PTA Buyer Barometer Survey 1 which gathered insights from 745 homebuyers and investors nationally, Australia’s love affair with property is shared with our partners, with 66% of people planning a joint purchase this year with their better half.
Meanwhile the survey found 23% of respondents intended to go it alone, while 9% plan to buy in a different entity or structure and 2% with a friend or relative.
REBAA president Cate Bakos said couples looking to buy property together needed to both be on the same page and commit to a long-term investment if they were to succeed financially.
“Those who are aligned in terms of strategy, risk property, end goals and commitment to the task are the most likely to succeed but it’s imperative that they are in it for the long-term,” she said.
“Partnership arrangements can turn to custard when one property partner wants to sell before the other is prepared to.
“Property is a long game, so both parties need to be aligned for this strategy to work.”
She said on the plus side property partnerships could be quite powerful when considering the borrowing capacity and combined energy and forces of two individuals.
“As with any partnership, legal arrangements need to be watertight and goals need to be aligned particularly when it comes to timeframes and debt retirement strategy,” she said.
“The biggest hurdles I see with couples buying property together is when they can’t agree on the same price point or whether they should prioritise an investment over a home upgrade or renovation.”
REBAA’s best advice for couples looking to invest in property this year:
- Read the same material and talk about it together
- Listen to podcasts and ask questions
- Have a common end goal and retirement strategy
- Share your fears openly and honestly with each other
- Make sure you assess and inspect property together