Moving in Together: Joint Mortgages Without Getting Married

With the prices of property rising and the competition to get onto the housing market increasing, sharing a mortgage has become the go-to option for many to make homeownership comfortably achievable.

But how does a joint mortgage work if you’re not married?

Whether you’re thinking about moving in with a long-term partner or simply planning to buy your first home together, it’s important that you understand your options. While a joint mortgage application can boost your borrowing power and speed up the purchase of your ideal home, it can also legally bind you to a shared financial responsibility and potential risks.

In this article, we explore everything you need to know about getting a joint mortgage without tying the knot. From ownership structures and legal protections to alternative options and exit strategies. Let’s jump in.

Can Unmarried Couples Apply for a Mortgage Together?

Yes, unmarried couples can apply for a mortgage together. In fact, more and more couples today are choosing to purchase property through a joint mortgage application without getting married.

Generally speaking, even if you’re not married, lenders are usually happy to offer mortgages to cohabiting partners. The only difference between a joint mortgage and a sole mortgage is that when submitting a joint mortgage application, both borrowers will have their incomes, credit histories, and financial commitments assessed to determine borrowing capacity.

Most importantly, before applying for a joint mortgage, both borrowers should fully understand how shared borrowing works, along with their rights and responsibilities from the outset.

Additionally, adding a partner to a mortgage can also be an option. However, this step will involve both legal and financial steps, including affordability, credit checks, and a new mortgage application with your current lender.

At Boon Brokers, we specialise in helping couples navigate the complexities of joint mortgage applications, whether you’re buying together for the first time or adding a partner to a mortgage. As a fee-free, whole-of-market mortgage broker, our dedicated mortgage experts can provide you with tailored advice and show you the latest mortgage products that are on the market today.

What Are the Different Types of Joint Mortgages?

One of the most important decisions that you will have to make when applying for a mortgage as an unmarried couple is deciding how you will legally own the property.

There are two main types of ownership when it comes to joint mortgages: joint tenancy and tenancy in common.

Joint Tenancy

With joint tenancy, both individuals have equal rights to the whole property. Importantly, if one person were to pass away, the other would automatically inherit the home.

This is the most common arrangement for married couples, but there are a plethora of reasons why this may not always suit unmarried buyers – especially if the original financial contributions aren’t equal.

Tenancy in Common

A tenancy in common agreement allows each person to own a specific share of the property. Most importantly, these shares don’t have to be equal and can accurately reflect how much each person has contributed to the deposit or mortgage repayments.

This structure offers greater flexibility for unmarried couples who want to keep their financial affairs separate, and especially for those who want to protect their individual investments.

Additionally, unlike a joint tenancy agreement, a tenancy in common will allow for each partner to leave their share of equity to someone else in a will – it doesn’t automatically pass to the other owner.

Understanding the difference between joint tenancy and tenancy in common is crucial. Here we have provided a handy table that outlines the key features of both:

Whether a joint tenancy or tenancy in common is best for your specific situation will be wholly down to you. It is always best practice to work closely with a solicitor to help you decide between joint tenancy and tenancy in common, ensuring that you understand the key differences and can help guide you through setting up the appropriate legal documentation.

What Legal Protections Do I Have If We’re Not Married but Share a Mortgage?

Buying a home with someone is a major financial commitment, and while the right mortgage and protection can help provide financial security, ensuring that you have legal safeguards is equally important.

Let’s take a look at the most common legal documents that can help protect your financial interest:

Cohabitation Agreement

A cohabitation agreement is a legal document that outlines what will happen in the event that the relationship ends or one person wants to sell. Depending on your wishes, this agreement can typically cover areas such as finance, property, and children. For example:

• Who paid what towards the deposit
• How mortgage repayments will be shared
• What happens to the property if you split

Life and relationships can be extremely unpredictable. As such, having a cohabitation agreement in place can help avoid legal disputes later on if things don’t go according to plan, and will give both parties peace of mind.

Property Agreement

Separate from the mortgage deed, a property agreement (also known as a declaration of trust) sets out in writing exactly who owns what percentage of the property.

This type of agreement is especially useful under a tenancy in common arrangement, as it helps provide clear insights and clarity around contributions and entitlements.

Will and Estate Planning

A key area to understand is that unmarried partners do not automatically inherit each other’s share of a property. This is true even if you have lived together all of your lives.

That’s why creating a will is essential if you want your partner to inherit your portion. Additionally, you can explore joint mortgage protection insurance which can cover the outstanding mortgage if one partner passes away.

These legal safeguards work alongside your mortgage agreement to ensure your home and finances are protected, regardless of your marital status.

What Are the Risks of Getting a Shared Mortgage Without Being Married?

Embarking on a joint ownership mortgage can be exciting and a great way to get on the property ladder. However, as with any major financial decision, it’s important to consider the risks – especially if the relationship does not last.

Joint Mortgage Paid by One Person

Perhaps one of the most important considerations is that in a joint mortgage, both parties will be equally liable for the repayment of the full mortgage – even if only one person is making the payments.

In the scenario that there is a split in the relationship, and the person not contributing to the mortgage walks away, the other is still responsible for covering the entire debt.

As we previously outlined in the legal protections, to help avoid disputes or financial imbalance, it’s strongly recommended that couples put legal agreements in place at the time of purchase.

A cohabitation agreement and a declaration of trust in this scenario, for example, would be able to clearly outline each person’s financial responsibilities and what should happen if one party stops contributing.

These documents provide an added layer of legal protection and can help prevent one partner from being unfairly burdened with the full mortgage repayment.

One Person Not Paying Joint Mortgage

A shared responsibility means that should one person stop paying the joint mortgage, and repayments start to become unachievable, this will negatively affect both of your credit scores.

Additionally, missed payments may lead to legal action or even repossession, regardless of why or who was at fault.

Buying Partner Out of Mortgage

If the relationship ends, one of the most common outcomes is that one person will want to keep the home. This simply leaves the option of buying the partner out of the mortgage.

This process starts with a formal valuation of the property to determine its current market value. From there, you’ll need to agree on how much of the equity each person is entitled to.

This is where your ownership agreement – e.g. joint tenants or tenants in common – comes into play, and will determine how much each person has contributed toward the deposit or mortgage payments.

Once a settlement figure is agreed, the partner keeping the property must apply to remortgage it in their sole name. Naturally, lenders will want to ensure that the partner who is keeping the house can meet the required repayments and so will have to pass affordability checks and credit assessments.

In short: the lender must be satisfied that the mortgage is affordable on one income.

If the remortgage is approved, the departing partner is removed from both the mortgage and the property title deed.

It’s important to work with a solicitor throughout this process to make sure all agreements are documented and legally binding.

What Should You Know Before Getting a Joint Home Loan with a Partner?

Before applying for a joint mortgage, it’s essential to have open and honest conversations with your partner about your finances, long-term goals, and future plans.

Clear communication from the start can help prevent misunderstandings and ensure you’re both aligned on your responsibilities and financial expectations.

Notably, with a joint mortgage application, lenders will assess both of your affordability and financial status. This includes assessing both of your:

• Credit scores and public information (such as CCJs)
• Income and employment status
• Past and existing debt
• Outgoing expenses

Lenders assess the financial profiles of both applicants, and so any increased risk – such as a low credit score – could lead to higher interest rates or even rejection.

As such, if one of you has a bad credit history, it will likely impact both of your ability to secure a competitive mortgage rate, and so it’s important that your partner knows before the assessment.

Are There Better Alternatives to Taking Out a Joint Mortgage?

In some cases, a full joint mortgage may not be the best solution for your specific circumstances. Fortunately, there are other ownership methods that can give flexibility, without tying both partners into the same loan.

For example, one partner could take the mortgage in their name only, with the other contributing informally. This is sometimes referred to as a sole proprietor joint mortgage.

Getting a Joint Mortgage as a Sole Proprietor

A sole proprietor joint mortgage is a specialist arrangement where only one person is named on the mortgage, but both partners are named on the property title.

This setup can be particularly useful when one applicant has a poor credit score, irregular income, or doesn’t meet the chosen lender’s affordability criteria.

As such, lenders will assess the mortgage based solely on the named applicant’s income and financial profile. The non-borrowing partner can still have legal ownership of the property, typically through a declaration of trust or a tenancy in common structure, which will outline in detail how equity is split.

At Boon Brokers, we can help you assess whether a sole proprietor joint mortgage is the right option for your circumstances. Our expert mortgage advisers will take the time to understand your goals, financial situation, and any credit issues that might affect your application.

We’ll explain how this type of arrangement works in practice, including how ownership can be structured, what legal protections should be put in place, and how it may impact affordability or future borrowing.

Additionally, as a whole-of-market brokerage, we can compare and find you the ideal lender and mortgage product, tailored to your needs. Our dedicated mortgage advisers will guide you through every step of the process so you can make a fully informed decision with confidence.

How Can a Mortgage Broker Help with a Joint Mortgage?

Applying for a mortgage as an unmarried couple can feel overwhelming – what type of joint mortgage? Do we need insurance? What legal protection is available?

Don’t worry – Boon Brokers is here to help you.

Here at Boon Brokers, we take the time to understand your situation and needs. Whether you’re buying a home together for the first time, adding a partner to a mortgage, or considering a sole proprietor joint mortgage due to credit issues.

With expert fee-free mortgage advice, we’ll guide you through your joint mortgage application every step of the way, helping you to make informed decisions about your ownership structure, legal considerations, and mortgage selection.

Our dedicated brokers have access to the whole-of-market, meaning we can search hundreds of lenders, including those who cater to unconventional applicants, self-employed buyers, and those with less-than-perfect credit.

We’ll explain your options clearly, help you gather the right paperwork, and support you throughout the process –  from start to finish.

Contact Boon Brokers today and start your mortgage journey with confidence.