Buying Real Estate with your partner, particularly if it’s your first home, can be an exciting time. However, it is also a very large commitment and comes with significant financial and legal ramifications. It also raises a number of questions for you as a couple that not everyone takes the time to sit down and discuss. If you want to avoid ending up in Family Court fighting over the house, you need to get advice before you buy.
Some of the things you should be considering and discussing with your partner include:
Your conveyancing solicitor will usually not be able to cover all of these areas, particularly if they are representing both you and your partner in relation to the purchase.
You need to seek expert advice from a family lawyer regarding your circumstances and such advice needs to be given independently from your partner. In particular, you should explore whether a Binding Financial Agreement (pre-nup) would be appropriate. These agreements set out what happens if you separate in the future.
You should also discuss your will and estate plan with your lawyer to determine what would happen in the event of your death. It is also highly recommended to seek advice from financial experts, including regarding your borrowing capacity and adequate income protection insurance.
Buying property is a significant decision and one of the biggest financial investment decisions most people will make. The information can seem overwhelming, but it is well worth putting in the time to do your research before you bid at auction or make an offer.
Before you take the plunge, make sure you: