Unmarried first-time home buyers

[Aimey]

My boyfriend and I are exercising the notion of buying a townhome together in the next 6 months. We moved to Houston, TX from Los Angeles, CA one year ago and have always been renters. We do not want to get married at this time and we do not have any children, but we are definitely interested in mutually purchasing property in this specific up-and-coming neighborhood before the end of the year. So basically my question is: Legally, what is the best way to go about this?

Currently we keep our finances completely separate. I am the one with excellent credit and pre-approval for the mortgage loan - however, he has poor credit, but has a much higher income and pays 70% of our rent. Also, being unmarried would we both be able to claim the 2009 first-time homebuyers tax credit? (I know this is a tax question - not a law question!) But I'm just trying to get information on how a mortgage can be divided and how to best legally protect ourselves.

Thanks!!

 

[dee_dub]

"How a mortgage can be divided" is between you and the bank. Usually you would both be joint signatories of the mortgage. However you want to work out payments is between you and your boyfriend. I'm not sure what you mean by "protect yourselves" - what specifically are you concerned about? You should draw up an agreement about what percentage each of you will pay and what percentage of the property each of you will own. If possible, you should have it titled in your names accordingly (e.g. he is on title as 70% owner, you are on as 30%). You should see a real estate attorney.