Unmarried couples

While it may seem unromantic, a Cohabitation Agreement is an important document to have in place, particularly if you’ve bought a house together.

The agreement sets out important issues such as:

• Caring for children
• Who is entitled to which assets
• Dealing with joint debt
• Financial support for one or both partners

People tend to make a Cohabitation Agreement when they are on good terms. It means that you can set out what happens if the relationship breaks down before any decisions become clouded with emotion.

The Declaration of Trust is a legal document that outlines who owns which shares in the property.  It sets out:

• How much each party contributed towards the purchase price of the property
• How the mortgage is repaid each month, and by whom
• The share you have in relation to the amount you invested in the property.

If your partner owns the property in their sole name, you won’t usually have any rights to the property, unless you can prove, for example, that you contributed to the deposit, or you contribute to the mortgage payments. This is not the only way, however.

If you’ve paid for major work on the house, then you may also have a claim that you own a share of the house.

Unmarried couples who choose to part ways may want to draw up a separation agreement. It’s usually a good idea if you have children, or you own property together.

The agreement sets out how to divide your finances, who the children will live with, and what happens to any jointly-owned property.