Buying a home together is one of the biggest financial commitments you'll make as a couple. Whether you're married, common-law, or in another partnership arrangement, understanding the legal and financial implications protects both of you. Here's everything you need to consider.
Ownership Structures: Critical Decision
How you hold title has significant legal implications:
Joint Tenancy
Features:
- Equal ownership (50/50 regardless of contribution)
- Right of survivorship (automatically passes to survivor on death)
- Cannot will your share to someone else
Best for:
- Married couples
- Partners who want automatic succession
- Equal financial contributors
Tenants in Common
Features:
- Ownership can be unequal (e.g., 60/40, 70/30)
- Each share passes through estate (not automatically to partner)
- Can specify different percentages
Best for:
- Unequal contributions (one partner contributing more)
- Blended families with children from previous relationships
- Investment partners
- Those who want estate planning flexibility
Financial Qualification: How It Works Together
Combined Income Benefits
Note: Both credit scores matter: lenders consider the lower score for rate purposes, and both scores for approval.
Down Payment Contributions
- Document who contributes what
- Keep records of all transfers
- Important for potential separation
- Consider a cohabitation agreement
Protect Your Partnership
Get pre-approved together and we'll guide you through the process of buying as a couple.
Legal Protections: Know Your Rights
Married Couples
Default protections under family law:
- Matrimonial home equally shared regardless of title
- Both spouses have right to live in home
- Must consent to sale or mortgage
- Division on separation governed by family law
Consider a marriage contract if:
- Significant assets from before marriage
- Inheritance you want to protect
- Unequal contributions
- Children from previous relationships
Common-Law Partners
Fewer default protections:
- Property rights vary by province
- Title holder may have more rights
- Contribution matters more legally
- Common-law status definition varies
Cohabitation agreement strongly recommended:
- Define what happens if you separate
- Specify ownership percentages
- Outline buyout procedures
- Protect both parties' interests
What Your Agreement Should Cover
Essential Elements
- Initial contributions
- Down payment amounts from each
- Source of funds documentation
- Ongoing payments
- Who pays mortgage, taxes, insurance
- How maintenance costs are split
- What happens if one can't pay
Protect Your Partnership
Get pre-approved together and we'll guide you through the process.
Get Started- Separation provisions
- How to determine property value
- First right of refusal to buy out
- Timeline for buyout or sale
- How equity is split
- Death provisions
- Life insurance requirements
- What happens to the property
Mortgage Responsibility: The Critical Point
Key understanding: Both parties are 100% responsible for the entire mortgage.
This means:
- Lender can pursue either party for full amount
- Your credit is affected by partner's payment behavior
- You can't simply "walk away" from half the debt
Scenarios to Consider
| Situation | Implications |
|---|---|
| Partner stops paying | You're responsible for full payment |
| Separation | Mortgage continues until refinanced or sold |
| Partner's credit drops | May affect renewal options |
| Partner's job loss | You may need to cover temporarily |
What If Things Change?
Separation Options
Option 1: Sell the property
- Split proceeds per agreement/law
- Cleanest break
- Market timing considerations
Option 2: One partner buys out the other
- Refinance required
- Buying partner must qualify solo
- Fair market valuation needed
Option 3: Continue co-ownership temporarily
- Rare and usually problematic
- Need very clear terms
- Defined exit timeline
Learn more in our divorce and mortgage guide.
FAQ
Q: Can one person be on the mortgage but both on title?
A: Yes, but the title holder not on the mortgage is still considered to have an interest and may be required to sign mortgage documents.
Q: What if we contribute unequally to the down payment?
A: Document contributions clearly. Consider tenants in common with proportionate shares, or a cohabitation agreement specifying equity split.
Q: Do we need separate lawyers?
A: For a cohabitation or marriage agreement, yes—each party should have independent legal advice. For the purchase itself, one lawyer can represent both buyers.
Q: What happens if my partner has bad credit?
A: Their credit affects your joint application. Options include: improving credit before buying, one person buying alone, or using a co-signer. We can advise on your specific situation.
Q: Should we buy together if we're not married?
A: Many couples do—just ensure you have a cohabitation agreement. The lack of automatic legal protections makes this documentation even more important.
What's Next
Buying together is exciting—and with proper planning, it's smooth and secure. Get pre-approved as a couple and our team will guide you through every step of the process.
Buy Together Confidently
Our team will guide you through buying as a couple, from pre-approval to closing.
