Buying a property together: Joint ownership

Want to buy a property with several people, with your parents, your partner or even your tribe. Interesting on paper, a quick overview of the issues and risks by Me Zakine. What should you do? attention before to launch?

Buying real estate with several people is a solution that can be particularly attractive, especially for families, friends or investors who wish to share a property.

This method of acquisition is generally carried out under the joint ownership regime, a legal situation where several people jointly hold ownership of a property, without the shares of each joint owner being materially defined.

In other words, all joint owners share the entire property without a specific fraction of the property being allocated to each.

This allows you to benefit from a collective down payment while maintaining a certain flexibility in the use of the property. However, this form of ownership presents challenges and risks that should be well understood before embarking on the purchase.

1. Risks associated with joint ownership

Although joint ownership allows several people to come together to acquire a property, it involves significant risks. The main one is the joint management of the property, which can become a source of conflict.

For example, any important decision concerning the property must be taken collectively, which can be difficult if the joint owners have divergent views on the maintenance of the property, the management of charges or even the resale of the property.

Managing joint ownership quickly becomes complex when the joint owners do not agree on how to distribute tasks, finance work or cover recurring costs.

Decisions relating to the management of the property, such as renting it out, carrying out work or even acceptance of a tenant, must be taken unanimously, unless a joint ownership contract stipulates other decision-making procedures.

In the event of disagreement, this may lead to paralysis of the management of the property.

There may also be conflicts over the respective shares of the joint owners, particularly if one of them considers that he has invested more than the others, whether financially or through the management of the property.

To avoid this type of situation, it is essential to clarify from the outset the management methods and the expectations of each joint owner.

2. Maintenance and load management

One of the fundamental aspects of joint ownership is the management of recurring costs and maintenance of the property. The day-to-day maintenance of the property, as well as taking care of necessary repairs, is a responsibility shared between all the joint owners. For example, expenses such as property taxes, property insurance, maintenance of common areas in the case of a multi-family building, and repair costs must be divided between all the co-owners. This distribution is in principle done according to the respective shares of each joint owner, but adjustments can be made if certain people have invested more in renovation or maintenance work. It is therefore crucial to establish a written agreement specifying how these expenses will be distributed and who will be responsible for each task.

Failure to pay charges by one of the joint owners can lead to tensions and legal proceedings. For example, if one of the co-owners does not pay his share of the charges, the others may decide to take action to recover the amounts owed. In the event of a conflict, it is also possible to obtain a different distribution of charges if one of the joint owners has been particularly active in maintaining the property. The rules must be clarified from the outset to avoid any misunderstanding.

3. What to do in case of disagreement ? the auction

One of the most complex aspects of joint ownership is the case where the joint owners can no longer agree on the management of the property or its sale.

In the event of persistent disagreement, theauction may be a solution.

This is a legal procedure which allows the sale of real estate to be forced, generally by auction, so that the proceeds of the sale are then shared between the joint owners according to their respective shares.

This process can be lengthy and costly, as it involves court intervention, which can also reduce the value of the property if the sale is made under pressure.

Before getting to that point, it is often preferable to negotiate an amicable exit, such as buying the shares of the recalcitrant joint owner.

If the situation does not allow for an amicable agreement, auction remains the ultimate solution to end the joint ownership.

However, this procedure can lead to additional costs and tensions, making the sale burdensome for all parties involved.

4. What to do if a joint owner does not want to sell?

Another common situation in the context of joint ownership is when one of the joint owners refuses to sell good, while others agree.

In this case, the law provides that any joint owner may request the sale of the property provided that this is in accordance with his rights and in compliance with legal procedures.

If a person refuses to sell despite the wishes of others, an auction procedure can be initiated.

This procedure can force the sale of the property, but it is often seen as a last resort given the costs and delays it entails.

There are also other solutions, such as selling the share of the recalcitrant joint owner to the other joint owners, which allows you to exit the joint ownership without having to sell the property in full. However, this solution requires the agreement of the joint owner concerned and a

correct estimate of the value of the share to be sold. If the negotiation is difficult, it may be necessary to call on a professional, such as a lawyer specialised in real estate law, to support the parties in managing the conflict.

The firm's intervention Zakine

Faced with the legal challenges posed by joint ownership, it is strongly recommended to seek assistance from real estate law experts. The Zakine firm, specialized in right real estate, works with clients to help them properly structure their joint property purchase. Maître Zakine, expert lawyer in the field, can advise you on drafting a joint ownership contract in order to clearly define the rights and obligations of each joint owner, and thus avoid future conflicts.

In the event of a conflict between joint owners, the Zakine firm is also competent to manage auction procedures or any other legal procedure allowing to exit the joint ownership. His expertise helps to avoid errors in the management of real estate, particularly with regard to the distribution of charges and responsibilities. The Zakine firm also intervenes in mediation and can be a valuable ally in finding amicable solutions in the event of disagreements between co-owners.

Buying a property in joint ownership can offer an attractive solution, but it involves risks that should not be underestimated. Good management, a clear distribution of expenses, as well as an agreement on the management of repairs and maintenance of the property are essential to avoid conflicts.

In the event of disagreement, solutions such as auction allow you to get out of joint ownership, but they can be costly and time-consuming. To secure this form of acquisition, it is essential to be supported by competent professionals, such as the Zakine office, in order to structure the purchase and effectively manage any conflicts.