Here’s the ultimate question: should you buy a house before getting married?

Whether you’re single or planning to settle down, buying a house is one important milestones in life. However, there are benefits as well as disadvantages specific to singles and couples one should take into account. Today, we’ll be looking at the pros and cons of investing in real estate before tying the knot. Not sure if you should buy a house before saying your ‘I Dos?’ Read on to find out whether buying a home unmarried is the best for you or not! 

should you buy a house before getting married

The Pros of Buying a house before getting married

Saves a lot of rent money

One of the main reasons why newlyweds opt to buy a house first before getting married is to save a lot when it comes to rent money. When you rent an apartment or condominium unit, the money that’s supposed to go on your home equity gets lost as rent payment. Visualize the figure. If you have a monthly rental payment amounting to PHP 3,500 per month, that’s PHP 42, 000 a year! Imagine that money should’ve gone to the down payment of your soon-to-be house. When you rent, it’s only the landlord that gets rich. So why not direct your expenses towards owning a house instead?

Builds equity sooner

The earlier you start investing in affordable house and lots or condominiums units, the sooner you build your property’s equity. We all know that properties appreciate value over time, so the earlier you invest, the bigger return you’ll get in the future. As newlyweds, you might not have an ample amount of space, but as your family grows, you’ll soon need to buy a bigger house to cater to your requirement for more living space. Your home’s equity can help you pay for your next bigger investment in the future.

Creates a sense of independence

For some couples, buying a house together is a form of commitment. I mean, why would you place a roof over your heads if you’re not ready to settle down in the long run? Moreover, buying your own house gives that sense of pride and independence, whether you are married or not. This just means that you are capable of making big decisions in life.

Co-signer could help with pre-approval

If you aren’t sure if you can afford to buy a house on your own, you could get your partner to become a co-signer. Before laying out such a proposal, make sure that you’ve discussed this thoroughly with your partner, as he or she will be the one to pay the mortgage the moment the principal buyer defaults.Getting a co-signer also increases the chances of getting properties with lower mortgage rates due to the additional source of income coming from your spouse.

Dual income to split utilities

If you and your spouse both have sources of income, it will become easier to eradicate the monthly mortgage payments, thus, building home equity faster. Also, take note that you also will have to split other expenses like utilities and groceries. If you aren’t certain if you’d be able to handle such responsibility, it’ll be best not to push through with the house purchase. Also, remember to do financial check-ups once in a while, as your financial situation may change over time.

If you’ve thought and talked things through, and you deem you can handle the financial stability, then it might be a good decision to purchase a house.

Shared house responsibilities

When you move into a house together, household chores that are usually time-consuming when done alone are now split between the two of you. Just make sure that you’ve talked with your partner about the tasks he or she is comfortable doing and vice versa. Also, keep in mind that your roles may change over time, so learn to be flexible.

The Cons of Buying a house before getting married

Financial Entanglement

One of the common pitfalls of buying a house before getting married is financial entanglement. You and your partner could fall into serious debt if you didn’t plan your financial steps carefully. Getting into large debts may strain your relationship in the long run. So, before you dive deep into investing in real estate with your partner, make sure you’ve discussed your spending habits and financial plans. Knowing the risks of some financial entanglements beforehand will help you prepare for the moment you encounter one. 

If you aren’t comfortable with the idea of sharing your finances yet, then it’s better to wait until after marriage before buying real estate.

Time commitment

Buying a house requires a full-time commitment, just like getting married. If you aren’t fully ready to commit with your partner yet, it’s best to postpone the home buying for now. Allow some time to asses yourself whether or not you want to buy a house at the present time. Take another glance at your long-term goals; does buying a house included in that list? Does your partner share the same sentiment as you? If things are a bit hazy right now, it’s best not to invest in real estate until you and your partner are on board with the same vision.

Missed tax benefits

There are tax benefits you may miss out on if you are not married. For instance, married couples can deduct twice as much property tax than singles. 

No protocol for equitable division

There are few laws that protect equal division of assets, for instance, a home, for unmarried couples. If your relationship encounters some mishaps in the future, dividing your assets equally might become a problem.

Relationship strains

Owning a house entails responsibilities for you and your partner. Your relationship might go under the rocks if one failed to fulfill his or her corresponding duty like paying his or her share in mortgage loans. Aside from financial conflicts, an unfair share of household tasks may rise problems.

Loss of equity for one partner

If you buy a home together but only one is named on the mortgage and title, this may pose an equity loss for the other. While this may sound fine at first, it may lead to contempt in the long run. Before you sign and engage in any agreement, make sure you’ve discussed the potential benefits and risks with your partner.

Should You Buy a House Before Getting Married?

Buying a house before getting married entails a lot of benefits and disadvantages. Constant and honest communication between you and your partner is the key to success in this venture. Before anything else, make sure you’ve talked things through and weighed out the possible pros and cons of your real estate investment.

Make sure that you and your partner are on the same terms towards this huge responsibility. Devise a plan on what to do in case the relationship comes to an end.