Readers' Questions - We're moving in together...
Our resident cohabitation expert answers readers' questions about issues to do with moving in together...
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Dear Mary,
Me and my boyfriend are looking to move in together shortly. Unfortunately the only reason we are able to do this is because my dad recently passed away and left me £40,000 for a deposit on a house. My boyfriend has no money saved to put towards a deposit, however he would be paying half the mortgage and bills. Could you please let me know where I would stand if we were ever to split.
It would depend on how you owned the home. You can own property in one person's name, or in two names either as joint tenants or tenants in common. If you bought a house as joint tenants then you would each own half - you would effectively be giving him £20,000 of your dad's money. If you own the home as tenants in common you can own unequal shares (say you own 70% and him 30%, or whatever is fair). This would protect your money just in case anything happened in the future. See our 
Housing guide (257 KB) for more details.
It is important that you and your partner carefully think through what you want to do and come to an agreement you are both happy with. When you come to buy the home your solicitor should explain your options and it is a good idea to discuss these issues with him/her.
Even if you buy as tenants in common it is still a good idea to make a Living Together Agreement as it sets out what you will both contribute and what your agreement is.
The only thing to bear in mind is, if you do end up buying as tenants in common, you need to write a will - without one if you died your share of the home would go to a family member, not your partner. A will is highly advisable in most circumstances anyway - see our Wills guide (534 KB) for how to do it as simply and cheaply as possible.
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Dear Mary,
I am a gay 48 year old woman who has met a 40 year old gay woman and we are planning on making a future together as we are very much in love. We both own our own homes, she with a friend and I live with my two teenage children - their father died two years ago. I have a 22k mortgage and her house is a housing association scheme which I do not fully understand, but I think she will not end up with very much from the sale. We are thinking of her buying into my house and her living here with me and the kids - but I am not sure if buying into my house is a wise move. I do not want her to feel she has nowhere to go should we split up, but equally I do not want to be responsible for her buying a share of the house if we split up and she moves on - although I feel this unlikely. Also I don’t want my kids to lose out if we do split up. We would eventually like to have a civil partnership, so surely she would be part house owner then anyway? Should we make a will, a written agreement or what?
It’s hard to say what you should do, as that depends on what you each want, and what level of commitment you want to make right now. You need to discuss all the issues with your partner, and between you work out a solution you are both happy with. It is really good that you’re thinking about these things now, and it may help things go smoothly, whatever you decide.
One option to consider could be her buying a percentage of your home and you owning it jointly as “Tenants in Common”. This would mean that your shares remained separate and, if anything happened to you, your children could still inherit your share. But you should consider that if she bought a share in your home and you split up, there is nothing legally to say it would have to be her that left. See our Housing & LivingTogether (257 KB) leaflet for more information. But you could agree, in a Living Together Agreement, that if you split up you would buy her out at the market value (or whatever arrangement seems fair).
Another possibility might be that she could, for now, keep her share in her current house, and rent it out (if that was possible under the Housing Association scheme). And you could revisit the situation a little further down the line.
Whatever you decide to do about the house, when your partner moves in, you should make a living together agreement. It only takes a few hours and does help you think about how you will pay the bills and buy things; what you will each contribute; how those contributions will be treated; and whether they will entitle you to anything should your relationship end. If anything changes later, for example if your partner buys a share of the home or you buy a new home together, you can simply change the agreement. Our Living Together Agreements (292 KB) leaflet will show you how to do it - step by step.
You should also each make a will. It is the only way you can ensure that your partner would inherit something if you died. A will would also enable you to leave property or money in trust for your kids and appoint trustees to look after it, appoint a guardian incase anything happens to you before the youngest is 18, and set out what financial help should be given to the guardian. Given that you have both your partner and your children to think of it could be a little complicated, I would suggest you see a solicitor to help you make your will. See our Wills (534 KB) leaflet for more information, and a list of everything you need to have or have decided before you see a solicitor, to minimise the cost.
You are right that if you were to register a civil partnership a little further down the line everything would change anyway. You would essentially own everything jointly and, if you were to split up, who would get what would be dealt with as part of the dissolution process (divorce, by any other name). If you do register your partnership you should update your will and look again at any other agreements you have.
Good luck. I hope everything goes brilliantly.
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Dear Mary,
I have been living together with my fiancé of 7 years in a rented flat and now we are due to buy a property together. Are there such options in joint mortgage and joint ownership (law wise) that if I would be able to pay off my mortgage amount earlier than him I can increase my ownership and decide if we sell the property and then get a bigger amount of the profit if some -and if we separate for some reason in future?
I have money coming from abroad in future and, as I do not have any loans and my partner here does, I am most likely able to pay off my mortgage much earlier than he is his. We are thinking of taking 125 000 pounds mortgage both and I would only like to tie myself for 15 years as I am able to pay it /my half of the mortgage off sooner as my salary is 1/3 bigger than his. This is concerning me - otherwise I am very excited!
Legally, you can buy a house in two ways - as joint tenants or tenants in common. If you were to buy as tenants in common you can keep your share in the home separate and you could have a bigger share, but this doesn't mean you can have separate mortgage. You will have to share a mortgage and you will both be "jointly and severally liable". This means that you will each be responsible for repaying the whole of the mortgage. If your partner can't provide his share you will have to pay the full amount.
If you are in a much better position financially than your partner, one option would be to own the home in unequal shares (say you own 70% and he owns 30%), and you could be responsible for the mortgage repayments in those same shares.
For now, read pages 10 and 11 of our Housing guide (257 KB) for details as to what rights the different types of joint ownership will give you. When you buy a home your solicitor will explain about the different types of ownership in more detail and will be able to advise you of the best option.
Alternatively if you decided it would be better to buy as joint tenants, you could make a Living Together agreement which would set out how much you each pay to the mortgage, how you treat those contributions, and how you would divide the home if you sell. I would advise you to making a Living Together Agreement anyway as it is a good way of dealing with money, bills, and other property (the TV, stereo etc) and avoiding any problems in the future. See our guide to making a Living Together Agreement (292 KB).
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Dear Mary,
My boyfriend is moving in with me at the end of this month and renting out his flat. We understand that he'll need to pay tax on the income that he gets from his flat, but what about the money he gives me - will I need to pay tax on that? He'll be paying me half my mortgage and half of the cost of utilities bills / council tax.
I think it depends on how you will be living together. If you are sharing the home as a couple, then he is simply sharing the bills that you jointly incur. If it isn't 'income' you don't have to pay income tax. Once he's moved in, it will be your boyfriend's responsibility to pay the household bills and the council tax, just as much as it is yours - so he won't be paying this to you, he'll be paying the council, the electricity company, etc. The fact that the bills are only in one name does not change this, nor is it a problem if you want to keep the home in your name only.
If, on the other hand, your boyfriend will be a lodger, then what he pays to you would be income. However, you could use the rent-a-room scheme which allows you to have up to £4,250 a year rental income from a lodger tax-free. If you did not use the scheme, what your boyfriend pays would be income from which you could deduct expenses arising from the letting, such as heat and light, after which there might not be much or any profit left to tax. If you are going to do this however, your mortgage agreement will almost certainly require you to get the lender's permission before taking in a lodger and the lender might, say, increase the interest rate charged as a result. Your buildings insurance would also need to be amended to take account of any letting. Consequently, this would not seem to be your best option.
If you want to go with the first option, I suggest you make a living together agreement when he moves in. This will clarify exactly what his position is, what you'll each contribute towards the household expenses, and how that contribution will be treated. It is always a good idea as it stops problems cropping up in the future and you can do it in an evening. See our step-by-step guide to making a Living Together Agreement (292 KB).
Also, remember that you will no longer be entitled to the single-person occupancy discount on your council tax - let the council know when he moves in.
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Dear Mary,
I own my own house and at present if I die it goes to my two children. My partner will be moving in shortly (he has no property of his own) and we will eventually get married. He has two grown up children. What advice do you give about making a new will after I am married? Obviously I want him to live in the house if I die but I do not want any proceeds on his death to go to his children.
You should consider making a new will 'in contemplation' of marriage, before the wedding. Advicenow don't advise as to what that should include because of course that depends on your wishes. You could set up a trust giving your partner a life interest in your home (and any money you wish to leave), and your children will inherit it after his death. As this is a little complicated, you should get a solicitor to help you make the will. See our Wills guide (534 KB) (particularly pages 9 and 10) for more details and advice.
