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There are many ways to approach home ownership. For example, you can buy a house in your name, in the name of a trust or you can co-own with your spouse or a partner. Once you’ve bought, there are advantages to paying off your bond as quickly as possible. Not only will you save on interest but having extra money in an access bond can serve as an emergency fund. Should you be living together or getting divorced, read on for some tips.

Home ownership and living together

Once you’ve decided to buy property with your partner, it’s important to draw up a cohabitation agreement. This document should outline all the rights and responsibilities associated with the property as well as what will happen if you ever separate.

Work out all the legal aspects so that both parties are aware of where they stand. Identify in whose name the property is going to be legally registered. It is highly recommended that co-owners both sign the purchase documents. Identify who is going to be paying the deposit, legal fees and bond.

Never assume that because you’re paying something towards the bond that you are also a co-owner.

Home ownership and divorce

In most cases of divorce, a couple will sell the house in question. If this is the case for you, make sure that your settlement agreement indicates the minimum price you will accept. If you don’t do this, your spouse may refuse to accept a given price or may even decide not to sell the house at all. The agreement should also cover who will be responsible for the bond payments until the house is sold.

If you want to keep the house, you can buy your spouse’s share. You may be responsible for the transfer fees as well. If the house is part of a trust or business, new documents will obviously have to be drawn up and signed.

When buying and selling property, consider the property market cycles. Try and buy a house when prices are low and sell when prices are high.

Tags: Finances