Buying with a spouse, partner, relative, or friend can make a purchase possible, but the arrangement involves more than splitting the down payment. Before signing, discuss how the property will be owned, how costs will be shared, and what happens if circumstances change.
Start before the offer becomes firm.
Tell your lawyer who will contribute funds, who will be on the agreement and title, and whether everyone expects to live in the home. The right documents and advice depend on the people, property, financing, and relationship.
1. Who Will Be on Title?
Ontario's co-ownership guide describes ownership by individuals as either joint tenants or tenants in common. These arrangements can have different consequences if an owner dies or wishes to transfer an interest. Ask your lawyer to explain the options in light of your intentions and estate plans. Do not assume that contributing to the purchase automatically determines how title will be registered.
2. How Will the Purchase Be Funded?
Write down each person's proposed down payment, source of funds, and share of closing costs. Discuss the mortgage application with the lender or broker. A private agreement between co-owners may not change obligations owed to a lender; review the lending documents and obtain advice before treating a proposed split as final.
Ask how any first-time homebuyer land transfer tax refund applies to the actual buyers and ownership shares. Eligibility depends on the statutory rules and each buyer's circumstances.
3. How Will Ongoing Costs and Decisions Be Shared?
Consider property tax, mortgage payments, insurance, utilities, repairs, and unexpected expenses. Who approves major work? What happens if one owner pays more than planned, uses more of the property, or cannot make a payment? Put your expectations in writing while everyone agrees.
4. What Is the Exit Plan?
Discuss how an owner could leave, how a buyout price would be determined, whether another person may move in or rent a portion, and what happens if owners disagree about a sale. Ontario's co-ownership guide recommends a written agreement that addresses decision-making and changes to the arrangement. The agreement should be tailored to the particular owners and property.
Questions to Bring to a Consultation
- Who are all the buyers, occupants, and people contributing money?
- What ownership shares and title arrangement does each person expect?
- Will everyone sign the mortgage, and what does the lender require?
- How will monthly costs, major repairs, and improvements be allocated?
- How would an owner leave, be bought out, or deal with a dispute?
- Do wills, powers of attorney, or family circumstances need review?
Buying together in Ottawa?
A real estate consultation can help identify the transaction documents and title questions to review. Separate advice may be appropriate where the proposed owners have different interests.
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Official Resources
Ontario: Co-ownership Arrangements · Ontario: Co-ownership Agreement · Ontario: First-Time Homebuyer Refund
This article is general information, not legal, tax, or financial advice. Rights and obligations depend on the agreement, title, financing, applicable law, and individual circumstances. Contacting the firm does not create a lawyer-client relationship.