5 Things You Need to Know Before You Buy a Home With Your Lover
Love is in the air; thinking about buying a place with your lover? Read these 5 things you should know before you take the plunge:
1. The process begins with a real estate attorney that can work with you and your beloved to enter a cohabitation agreement and/or property distribution agreement so you are both protected in the event of a break up.
2. Separate counsel vs. joint counsel:
- Separate counsel will mean you each get an advocate; but will cost more and take longer.
- Joint counsel could present a conflict of interest.
3. Understand cohabitation agreements:
- Sets forth each person’s financial obligations, especially down payments
- Make sure you know exactly who is paying for what and whether each person will be considered an owner on the title.
- Who is responsible for paying the mortgage
- Be wary of paying half the mortgage if your partner refuses to allow you to be added to title!
- What happens to the home in the event of breakup or death
- Make sure your property is titled appropriately to make sure it’s passed to the intended party (or not) at death.
3. Property Agreements
- These cover the physical property you may collect while living together
- Furniture, appliances, etc.
- Also, collectibles, art work, books, etc. You would be surprised what people end up fighting over!
4. Property disposition in the event someone decides to move out
- This is like a pre-nup for your arrangement. It might sound crazy, but will save a mountain of a headache later.
- A proper agreement may prevent having to go to court in a situation where one or more cohabitants moves out or passes away
- Titling correctly is also important for passing along the property in the event of death – but that is a whole separate topic we will have to revisit soon!
Happy Valentines Day from me and my team! Should you have any questions about buying a home with your partner, feel free to reach out to me. I am here to help and can be your Chicago resource for all things legal!
Junilla J. Sledziewski, ESQ.
@junillaesq – Twitter & Instagram
These materials have been prepared by Statman, Harris & Eyrich, LLC for informational purposes only and are not legal advice. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. Internet subscribers and online readers should not act upon this information without seeking professional counsel, as the advice appropriate for your particular circumstances may vary.
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