Buying a House as an Unmarried Couple: 8 Steps to Plan and Protect Your Investment

With today’s rising cost of living, more couples are choosing to buy a home together before getting married because it makes financial sense. In fact, unmarried couples are the group most likely to struggle with housing costs—76% of those who live together report having trouble making payments. But buying a home as an unmarried couple comes with unique considerations that married buyers don’t always face, from deciding how to structure your mortgage to outlining what happens if you break up.

Whether you’re searching for a home in Austin, TX, Seattle, WA, or Atlanta, GA, this guide will help you navigate the process of buying a house as an unmarried couple and make informed decisions along the way.

A quick comparison of buying a home unmarried vs. married

1. Get aligned on the home you want to buy

Before diving into the logistics of buying a home as an unmarried couple, you want to start with your vision and goals as partners. This early alignment helps avoid disagreements later and ensures you’re making decisions as a team from the start.

Questions to ask each other include as you begin browsing listings on Redfin:

• What type of property are you looking for – condo, single-family, fixer-upper?
• What location is most ideal for both of your lifestyles? 
• Are there specific features either of you want in a home – spacious backyard, two-car garage, walkability?
• What is a budget that makes sense for both of your financial goals?

It also helps to discuss how long you expect to stay in the home, whether you plan to work remotely or expand your household, and how you’ll handle it if you disagree on what to buy. 

>> Read: What to Look for When Buying a House

2. Discuss your finances

It’s essential to be transparent about your finances, especially as an unmarried couple buying a home. Open communication now can prevent misunderstandings and resentment later on.

Here are some key topics to cover together:

• Income: Share your current earnings, how stable they are, and if you are expecting any changes to your income.
• Debts: Discuss student loans, credit card balances, and recurring payments or obligations that could influence your budget or mortgage approval.
• Credit scores: Review your credit scores and reports with one another so you both understand how they could impact your loan terms or interest rates.
• Savings: Decide how much each of you can contribute from your savings towards the down payment, closing costs, and moving expenses.
• Monthly budgets: Agree on what you’re comfortable spending on your mortgage, insurance, utilities, and maintenance.
• Emergency funds: Discuss how you’ll handle unexpected costs, such as repairs or sudden loss of income.
• Future financial goals: Talk about your financial priorities and goals, such as paying down debt, saving for retirement, or planning for a wedding. All of these can affect how much you want to spend.

3. Who will be on the mortgage application

Once you’ve reviewed your finances as a couple, you’ll need to decide who will apply for the mortgage. This decision affects your ability to qualify for a loan but also who is legally responsible for repayment.

Joint application: If both partners apply for a joint application, the lender will consider both incomes and credit histories. This route can help you qualify for a larger loan or better interest rates as long as both credit scores are strong. However, both partners will be equally responsible for the debt, even if the mortgage payments are different.

Single application: If only one partner applies, their income and credit alone will determine eligibility. This can be beneficial if one partner has a stronger credit history or higher income than the other, but it also means they are solely responsible for the mortgage payments. They will also be the only person to build credit through repayment.

Consider these factors before choosing what the best option for your couple is: 

• Whose credit score and income will secure the best terms? 
• Are you comfortable sharing equal responsibility for the loan?
• If only one person applies, how will you protect the other’s financial interest in the property?

>> Read: How Many People Can Be on a Mortgage?

4. Understand the legalities

Being an unmarried couple buying a house takes extra planning to ensure both partners are protected, since they don’t have the same legal rights that married couples do. Taking proactive steps together now can help prevent confusion, disputes, and unnecessary stress in the future.

Who will hold the home’s title

Choosing how to hold the title to your home is one of the most important decisions you’ll make. The title determines who legally owns the property and what happens to each person’s share if one of you passes away.

The two most common options are:

• Sole ownership: Only one person in the relationship is the legal homeowner. This means, that person will have legal rights to the property regardless of whose name is on the mortgage or making the monthly payments.
• Joint tenancy with rights of survivorship: Both partners co-own the home equally. If one partner passes away, their share automatically transfers to the surviving partner, regardless of what their will says. 
• Tenancy in common: Each partner owns a defined percentage of the property, which can be equal or different. If one partner passes away, their share goes to whoever they name in their will. This option provides more flexibility if you want to keep ownership shares separate.

Sign a cohabitation property agreement

A cohabitation property agreement is a legal document that outlines how you’ll handle ownership and responsibilities as unmarried co-owners. It helps prevent misunderstandings and protects both parties if your relationship changes.

This agreement can include:

• How much each person contributed to the down payment and closing costs
• How you’ll split monthly expenses like mortgage payments, taxes, and maintenance
• What happens if one of you wants to sell or move out
• How the proceeds of a future sale will be divided

5. Have a plan for worst case scenario

While it’s not ideal to discuss the possibilities of a break up or facing a tragedy, this is something to consider when being an unmarried couple buying a house. Having an action plan for the worst case scenario is a wise move because unmarried partners don’t have the same legal rights as married couples when it comes to homeownership. 

If you were to get married after buying, the property could become marital property, depending on your state laws. However, if you stay unmarried, there are important questions to consider when buying with your partner.

• If you break up, will one of you have the option to buy out the other’s share?
• How will you decide whether to keep or sell the home?
• Who will continue to pay the mortgage if one person moves out?

  What happens to the property if one of you passes away without a will or trust in place?

6. Set expectations for the future

Beyond the immediate details of buying a home, it’s important to talk about what comes next. Owning property together is a long-term commitment, and discussing your plans now can help you avoid confusion or disagreements later. 

Questions to consider:

• Do you plan to refinance together in the future to remove or add someone to the mortgage?
• Are you considering getting married eventually, and how would that impact ownership or financial responsibilities?
• If your incomes change significantly, how will you adjust how expenses are split?

7. Hire a real estate attorney

It’s wise to bring in professional help and a real estate attorney can make sure your agreements are thorough, enforceable, and tailored to your circumstances as an unmarried couple.

Why an attorney is valuable:

• They can draft or review your cohabitation property agreement to ensure it clearly outlines each person’s rights and responsibilities.
• They’ll explain how your chosen form of title affects inheritance and ownership.
• If issues arise down the road they can guide you through your options and protect your assets.

How to find the right attorney:

• Search for someone who specializes in real estate transactions and has experience working with unmarried couples or co-buyers.
• Ask for recommendations from your lender, real estate agent, or friends who’ve purchased property together.
• Schedule a consultation to discuss your goals and confirm they understand the complexities of your situation before you hire them.

8. Have a plan for how you’ll split costs

Once you’ve walked through the process of buying a home together as an unmarried couple, you’ll need to figure out how you’ll split your day-to-day expenses of owning together. 

Expenses to consider include:

• Mortgage payments: Decide whether you’ll split them 50/50 or in proportion to your income or ownership share.
• Utilities and services: Outline who will pay for electricity, water, internet, and other recurring bills.
• Repairs and maintenance: Agree on how you’ll handle both routine upkeep and unexpected repairs.
• Property taxes and insurance: Make sure you’re both clear on when these are due and how you’ll pay them.

To make the process helpful, you and your partner could create a shared budget or open a joint bank account dedicated to household expenses. This will allow you both to track contributions and keep everything organized. No matter how you decide to split costs, it’s essential to document your agreement so you both know what to expect and to revisit your plan if any circumstances change.

Buying a house as an unmarried couple: FAQs

1. What if one of us moves out before the home is sold?

It’s important to plan ahead for various scenarios, including a situation where one partner moves out before the home is sold. You want to determine if this person will continue contributing to the mortgage and how you’ll handle the eventual sale. A cohabitation agreement will outline these details so neither partner is left with unexpected costs or disputes.

2. How can we protect ourselves if one partner pays more for renovations?

Ensure that your record which partner pays for improvements, and include whether those costs increase that partner’s share of the equity. Without documentation, contributions for upgrades are usually treated as joint property.

3. Is there a way to prevent one partner from selling their share without the other’s consent?

Yes, you can add a right of refusal clause to your agreement. This means if one of you wants to sell your share, it must first be offered to the other partner before listing it for sale to someone else.

4. What happens to the home if one partner files for bankruptcy?

In this case, creditors could pursue their share of the property. How ownership is structured, whether with joint tenancy or tenancy in common, and state laws will determine what’s at risk. Contact an attorney about your options to protect your interests.

5. Do we need life insurance to protect each other?

Having life insurance can help protect the surviving partner by ensuring they are able to cover the mortgage or buy out the deceased partner’s share. This is especially important if you hold the title as tenants in common and want to avoid financial difficulties or forced sale.

6. Is it harder for unmarried couples to buy a house?

While it’s not harder to get approved, it does require more planning. Since you don’t have the legal protections of marriage, you’ll need to be clear about ownership, finances, and what happens if you break up.

7. Is the process for buying a home married vs unmarried different?

Yes. Married couples are treated as one unit, which simplifies things. Unmarried couples have to make more decisions up front—like how to split ownership and protect themselves legally.

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