Legal Question in Real Estate Law in New York

Re: Unmarried Couple to Purchase Home

I suggest that you prepare a written agreement spelling out exactly what you each will be responsible for. This would include what you each will be paying toward the purchase price, what you will be contributing to the monthly costs (such as mortgage payments, taxes, insurance, repairs, maintenance, etc.), plus how other costs will be allocated, such as utilities, telephone, lawn care, snow removal and the like. You also need to cover what happens if the relationship ends. Who gets to stay there, if a buyout is going to take place, how will the property value be determined and how will the buyout be paid. If no buyout will the property be required to be sold? Who will be on the mortgage after a buyout and what happens if that person defaults (keeping in mind that if you are both on the original mortgage, just leaving and being bought out does not relieve you from mortgage responsibility if it is not paid). If the property is not to be owned equally, this should be specified in the Deed. I am not trying to scare you, but it is best that all this be worked out in advance, rather than try to sort it out if the relationship ends. Call me if you need assistance in preparing the necessary agreement.

Re: Unmarried Couple to Purchase Home

You can;t Both of you on the note and mortgage, both of you on the hook. The deed by itself means nothing except ownership. It is the Note and Mortgage that obligates, especially the Note.

The only after the fact protection that you can have is to have an agreement beforehand between yourselves, so that you or she can sue each other on this agreement.

Call with any questions,

Good Luck

RRG