Q: My boyfriend and I have decided to buy a house together. We cannot afford the wedding yet though, so I’d like to know the best way to buy the house and protect ourselves in case something happens to one of us or we split up. Please can you advise?
A: Joint property owners in England and Wales who are not married to each other do not have the same legal rights as those who are married, so you are right to ask how best to protect yourselves.
You can either own property together as ‘Joint Tenants’, or as ‘Tenants in Common’. Joint Tenants own property jointly, and if one dies their share of the property automatically passes to the other. In the case of Tenants in Common, each owner’s interests remain completely separate, and each party can leave their share to whomsoever they wish in their Will. If they die without a Will, then their share will pass to their next of kin. So, you should also consider making a Will at the same time as purchasing your property. Holding a property as Tenants in Common is best if you are not married, and particularly where one party has made a larger financial contribution to the purchase.
The two most important legal documents for unmarried cohabitees to have drawn up are a Declaration of Trust and a Cohabitation Agreement. Your solicitor can do this for you. A Declaration of Trust lays out the legal arrangements under which the parties will own shares in, fund and sell the property, and how sale proceeds will be divided. A Cohabitation Agreement drawn up by a solicitor is a legally binding document that sets out arrangements for finances, property and children, for unmarried couples whilst they are living together and if they split up, become ill or die. Without this, cohabiting couples who are not married do not have many rights!
This question has been answered by Myfanwy Pierpoint, a Solicitor with GHP Legal. If you would like to speak to someone about this or any other legal matter, please visit our website www.ghplegal.com and use the contact us form, or call us on: Wrexham 01978 291456, Llangollen 01978 860313, Oswestry 01691 659194
