Buying from or selling to friends

Buying a property from a family member, friend or acquaintence has become a lot more popular in recent years. It can be a great way of moving properties without the worry and uncertainity that comes with buying from a stranger. This isn't to say you just agree a sale and hand over the keys, you will still need to employ lawyers on both sides to deal with the legal process of transfering property ownership and inform the land registry of the change in owners. You can however save on estate agency fees and you may be able to negotiate a deal that benefits both parties, Rachel Newman sold her 2-bed Semi to an old school friend;

"Our property had been on the market for over a year, we had plenty of viewings but something always seemed to fall through at the last minute. When an old school friend told me she was moving back to the area I half-jokingly suggested our home but she came to have a look and luckily loved it! The only problem we had was that she was still some way from raising enough cash for her deposit, we needed a quick sale to move to our new property so offered to pay half her deposit which was about £5,000 and she was able to get her mortgage. She was thrilled that she was able to move sooner than expected and we were happy to get a much needed quick sale at the asking price."

If it seems too good to be true then it is worth remembering that buying/selling a property is a very stressful time and if anything goes wrong with the house or property sale it may put enormous strain on your friendship or family relationship. Don't skip any of the formalities just because your buying from a friend, approach it as you would with a stranger to avoid any problems.