Primary Residential Mortgage, Inc.
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Based from the National Association of Realtors’ report a few years ago, 58 percent of those who are looking for homes are couples, 12% are single men, and the remaining 20% are single women. Couples are aren’t married yet are in a dilemma if they’ll continue to rent or purchase a home together. Since purchasing a house is both a huge investment and a responsibility, it’s important that you the financial and legal details of purchasing a house as a couple.
Since two people are actually buying a house, their budget will be a lot bigger. They may be able to combine their savings to come up with a down payment. Since they’re a couple, they’ll be able to afford a bigger amount for a down payment. This is quite crucial if you want to save more in the future.
Some people who go out as a couple has a choice if they’ll only use one income if one of them has a poor credit history or if the other one becomes either unemployed or too ill to work. Having only one of them on the mortgage can sometimes be a better deal. However, some banks in states like Louisiana might require both partners to be on the same mortgage.
This is probably one of the most difficult parts of owning a house as a couple. It will take a form of legal ownership and a process of transfer of property if in any event of death. Married couples have an option to either automatically transfer ownership to their partner or not. However, in the case of an unmarried couple, they have to make a distinction that both has to make a distinction beforehand in order to secure the legal rights of the surviving partner. The best way for unmarried couples to have the same title is if they’ll apply as joint tenants with rights of survivorship.
House Buying Partnership Agreement
It is advisable that couples should have all financial agreements into writing. A certified real estate lawyer should process the document clarifying all the details as to how the finances will be handled. It should also include clauses regarding the contribution for the down payment, the monthly house loan payments, maintenance and also repairs.
The agreement should clearly state what will happen if the couple should ever decide to go on separate ways. These things have to be considered, especially about the ownership if in case that happens. Lawyers from cities like New Orleans would often advise their clients to make a written agreement to serve as a protection for both rights of the couple. This will definitely help you if in case something happens.<< Back to the list.