Just because a couple’s relationship is going strong, it does not mean that nuptials are impending. This is true whether or not children are involved. What often happens in these matters is that the couple will live like most married spouses. They will purchase a house together. Because this is a major purchase, one does not go through this process lightly or even quickly. Just like married couples, there is no guarantee the relationship will last. Thus, it is important for unmarried couples in Texas to consider ways to protect this purchase.
What can you do if you are unmarried and purchasing a home? In order to overcome the risks associated with purchasing a home with your partner, there are three steps to consider. To begin with, a premarital agreement that addresses ownership of the home could be helpful. While this requires having a conversation about the relationship not working, this document could protect each person’s rights to the home. A premarital agreement can outline what will occur in the event of a split.
Next, the couple should choose the right type of title. As there are more than one way to own a home and taking title, unmarried couples should consider this. Depending on the situation and state, there are likely three types of title the couple could consider. This includes sole ownership, where one person is named, joint tenancy, which provides 50 percent ownership to each person or tenants in common, where unequal ownership could be established.
Finally, unmarried couples should keep their parents out of their home purchase. If their parents are providing money or input in the process, this could make it much more complex if the couple splits. If the couple keeps the decisions and money between them, they can establish a clear agreement when making the purchase, and if need be, when they split.
Property division issues can occur before, during and after marriage. Thus, it is never too soon to consider steps to protect your rights to certain assets. Taking the time to explore your options could help you protect your rights in these legal matters.
Source: Msn.com, “Buying a Home as an Unmarried Couple? Do These 3 Things,” Beth Buczynski, Jan. 29, 2018