Paul,
Hi, and welcome to the forum. If you are just starting out, and you are thinking of involving four people, not in a limited company, here are some pros and cons, as we did this for 3 years ourselves in private names.
1 Write a letter of agreement between the four parties. Make sure you all agree that, despite who's name each property is held in (and it would be a good idea to have each mortgage in one name only to avoid complications), that each party has to put the same equal capital into each purchase.
2 Set up a bank account which is accessible by all four parties.
3 Agree and document who does what (who keeps accounts, who deals with managing agents, maintenance issues, etc)
4 Make sure that all parties have regular access to financial information and the decisions that are taken by each party.
If you do this, and I can assure you this withstood a
IR investigation without issues, you will be able to make a capital gain allowances on sale of each property to the tune of about £32K without any tax implications. As a plan, then, you may wish to buy your properties and have a long lead time plan to dispose of them sequentially to maximize the effectiveness of capital gains. If they are also highly mortgaged, you shouldn't have to pay any income taxes either.
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