Building a new home

Debt_Free_Chick

Echo all the points already made ... and a couple more.

Living in a house on a plot of land that you only own 1/3 of is difficult to envisage. You wouldn't be a complete/sole freeholder, but wouldn't be a leaseholder either. What if there are any disagreements in the future even only over minor things, like garden design/layout? Are they the type of people to shove the "but we own the majority of the land" argument? You may think they're not at the moment but ......

Raising a mortgage on a plot that you only own 1/3 of is also going to be difficult. Indeed, most lenders will want all the owners to sign up to the mortgage and that's not going to be practical, is it?

You talk about buying them out in stages .... As an alternative, consider buying the whole plot outright. When you come to build, you'll presumably be paying in stages and at that point, you can probably look to raise a mortgage to fund the build. Some lenders specialise in funding self-build and will lend on the value of the finished property. This way, any future finance is to fund the build and not to buy out the remaining share of the freehold.

HTH