Not ready to get married, but ready to buy a home? You and your partner aren’t alone. Unmarried couples made up 9 percent of homebuyers in 2020, according to the National Association of Realtors. That number seems likely to increase, too, as couples reconsider the financial implications of saying “I do” in the wake of the pandemic.
While buying a house with your partner can feel like an exciting new chapter, it’s important to recognize that it doesn’t necessarily look that way in the eyes of a court.
“With married couples, you’ve got the domestic relations courts that have a framework of rules. Those rules don’t apply when an unmarried couple splits up,” says Barry Kreisler, a real estate attorney based in Chicago.
If you’re an unmarried couple looking to buy a house together, consider these six questions before beginning your search:
1. What are the laws for unmarried couples?
In a select few states, your decision to live together as partners could classify your arrangement as a common law marriage. However, laws in most states treat unmarried couples like individuals when it comes to assets like real estate. So, it’s up to the couple to write their own rules that dictate how their property is to be handled in the event of separation or death.
2. What should be included in the property agreement?
To get the same protection as a traditionally recognized marriage union, unmarried couples buying a house together must write their own defaults.
To learn more about mortgage rates below 3% and the home buying process, visit the SCOOP! Blog
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