Has anyone ever bought a house with wider family?

walletmoths

I've had an offer from the rest of my family to buy a commercial property together - so that my retired parents, my family (of 4), and my brother's family (of 6), can all own a property together and run a business from it - as it's the only way we'd get a mortgage.

This will get both mine and my brother's family out of a problem: the fact that nomatter how hard we all work, we'll never pay off our mortgages and when we retire, we'll be looking at renting.

Has anyone out there ever done this sort of thing though? How did it go? Did everyone get along OK? Is there anything we all really need to consider before we all go ahead and put our current homes on the market? We've obviously discussed this at length with each other, but any tips from folks who've done the same thing would be hugely helpful.

SailorSam

Think carefully. What happens if you all fall out with each other ?

unforeseen

Have you got a business that will generate enough income to support 3 families, 2 of which are quite large?

Without a solid business plan you have no hope of getting a commercial mortgage

Yorkie1

Is the intention to live in the property as well as run a business from it?

Mojisola

walletmoths wrote: »

I've had an offer from the rest of my family to buy a commercial property together - so that my retired parents, my family (of 4), and my brother's family (of 6), can all own a property together and run a business from it - as it's the only way we'd get a mortgage.

It's got the potential for breaking up the family and causing endless aggravation.

Twelve people will have to agree about what's done with the property/business while it's functioning, when to sell it up, what price to accept, etc.

walletmoths

Thanks for your replies. The idea is that we all live on-site, which is likely to mean converting or extending an existing building to then be split into 3 dwellings. The type of business would be (hopefully) fairly straightforward and the 4 adults who don't work would be running it. I'm imagining something like caravan storage on the land.

The other 2 adults would be going to work as usual - so the money for the mortgage would come from our jobs mostly, as well as the business.

I have been thinking about "what if somebody want's out?", and I'm guessing that we'd have to get some really good solicitors contracts sorted out before we all sign up.

Any other advice though would be much appreciated - as it is still quite a scary prospect.

robatwork

Given that I think it's a bad idea...

Make sure you all sign as tenants in common, and the shares are very specifically noted.

goodwithsaving

Don't do it. We accepted a gift from wider family towards our property and now things have gone pear shaped, I am in a situation which is difficult to get out of (and will be a lot worse off for).

Look after number 1. I know it's hard, but you have to.

davidmcn

walletmoths wrote: »

converting or extending an existing building to then be split into 3 dwellings. ..I'm imagining something like caravan storage on the land.

Leaving aside everything else - has anybody looked into whether this is even feasible from a planning point of view? Or whether a commercial lender would be prepared to accept the potential hassle of there being wailing families to evict when the business goes pear-shaped?

Mojisola

walletmoths wrote: »

The idea is that we all live on-site, which is likely to mean converting or extending an existing building to then be split into 3 dwellings.

The type of business would be (hopefully) fairly straightforward and the 4 adults who don't work would be running it.

How much time do you spend together now? Have you ever been on holiday as a group?

Out of the four who will be running the business, who will be the boss? Will the others agree to be told what to do and accept decisions made by that person?

lincroft1710

walletmoths wrote: »

I'm imagining something like caravan storage on the land.

And if the planners refuse permission?