Are there disadvantages to a joint bond?

Joint bonds are becoming more popular and there are many benefits to having one. However, there are also some complications you should be aware of.

• The more people involved in co-ownership, the more admin is required.
• The more co-owners, the smaller the share of the profit each co-owner gets.
• Decisions have to be agreed on by all co-owners, which can hold up renovations or other decisions regarding the property.
• Complications if one investor decides to sell.
• Complications if two or more of the investors have a falling out.
• A partner may decide to sell their portion of the property, in which case other partners will be responsible for transfer duty and other accrued taxes.

However, don’t let these factors put you off investing in a joint bond, which provides a convenient way for first-time homebuyers to get on the property ladder.