11.08.2022 – 12:26h Updated 08.11.2022 – 12:26h
Are you thinking of taking the big step and buying a home? Before you go to the bank, you may be interested in taking some details into account, especially if you do not yet have the formal relationship through marriage or domestic partnership. In this guide you can consult the Differences in buying a home as a married or moving coupleso you can decide which option you prefer in each situation.
Content of information:
To take into account before buying a house as a couple
Before you sign a mortgage and commit yourself almost for life, it is necessary to clarify some preliminary questions with your partner. Although it is not the initial thought, the relationship may end over time. And in these cases, you have to be prepared.
Buying a house as a couple
The main difference between buying a house already married or as a couple is that if the relationship is not formalized as a de facto couple or marriage, the bank can cause you more inconvenience when granting the loan. This is not a written rule, but the banking entities understand that the formal union offers more stability than dating relationships.
On the other hand, in a dating relationship there is no specific regime governing the belongings of bothso in case of separation, many problems can arise.
The former is more difficult to overcome, but the latter has a solution. Those couples who do not want to get married or formalize the relationship as a de facto partner, it is possible prepare a document and submit it to a public deed which records what should be done with the house in the event of separation. To do this, both parties must go to a notary who writes down all the conditions and procedures to be followed and, in this way, specifies all the rules of the couple regarding shared housing. And the steps to follow with the house in case of rupture. In addition, in this document it is necessary to make clear what the contribution is made by each of the parties, as well as the part that each of them will receive in case of separation.
Buy a house with your partner who is already married or as a de facto couple
Unlike the previous case, couples who have already formalized the union have decided that they prefer to form their own community property regime or separation of assets. Therefore, the final destination of the house will depend on what is established in these documents.
In other ways, it is the main advantage of buying a home as a married couple the bank provides more facilities while granting the loan. The entities assume that the union is more stable and they are a little more permissive in granting the mortgage.
Pros and cons of buying a home as a couple
Regardless of being married or not, there are many pros and cons to taking the plunge and buying a home as a couple.
- The biggest advantage is that the the responsibility for paying the fees is reduced because it is shared between two. In practice, it is easier when it comes to paying the installments.
- The banks it will make it easier to get the mortgage granted and more likely to get it than do it alone.
- It is possible to get a loan with better conditions and more money.
- It is easier to continue paying the mortgage in the event of an unexpected event. If, for example, an unexpected payment arrives or one of the two is fired from their job, they will count on the other member’s salary to continue paying the dues.
- Regarding the disadvantages, it must be clear that the A mortgage union is more difficult to dissolve than a marriage. If the relationship ends, the most important thing is to continue paying the fees.
- Both parties must be responsible. Keeping the payment of fees up to date and committing to the originally agreed financial contribution. It is a disadvantage because it is much more complicated to insure the liability of two than one.
If you want to read more news like Differences between buying a house with your marriage partnerwe suggest you enter the category of mortgages.
Start investing your money in cryptocurrencies and get Free Bitcoin when you buy or sell 100$ or more if you register in Coinbase