Before buying a home with your partner, it’s important to sign an agreement in case you separate. The law can offer some protection if you don’t have an agreement, but this protection may be limited depending on your situation.
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Protections when you’re married or in a civil union
If you’re married or in a civil union, the law automatically gives you certain protections. The family patrimony is a good example. It’s created as soon as the marriage or civil union begins and requires the spouses to equally share the value of the family’s homes and furniture.
However, some property isn’t included in the family patrimony, like gifts and inheritances.
If you’re married or in a civil union, you also have a say if your spouse decides to sell or mortgage the family home. This is the case even if you aren’t the owner of the home. To protect yourself, you can register a declaration of family residence in Quebec’s land register. For example, this declaration allows you to have the sale of the home cancelled if you didn’t agree to it.
Options for couples in a parental union
If you’re in a parental union, you may benefit from the parental union patrimony. It offers less protection than the family patrimony, but it still includes, among other things, the family’s homes and furniture.
You can also choose to add or remove certain property from this patrimony.
If you separate, the parental union patrimony must be shared between the partners.
Less options for common-law partners
There aren’t specific rules in the law that determine how common-law couples must divide the value of their property in case they separate. That’s why having a signed agreement can help avoid many problems in case you separate.
If the partners are co-owners
You can make both partners co-owners in the deed of sale. This means your partner can’t sell the home without your permission.
In general, you also own the home in equal shares. If you want to have different shares, you can set this out in an indivision agreement. This agreement can include, for example:
- how you will share payments concerning the home
- who will keep the home if you break up, and under what conditions
- whether you agree to use mediation in the event of a conflict
If only one partner owns the home
Sometimes, for various reasons, only one partner owns the home. If you’re the partner who isn’t the owner, it’s in your best interest to protect yourself, especially if you contributed money toward buying the home.
If you don’t own the home but contributed to the down payment, you can ask your partner to sign an acknowledgement of debt. If you separate, this document can be used in court to prove the debt exists and to help you recover some money. An acknowledgement of debt is more difficult to challenge if it’s prepared by a notary.
A cohabitation agreement is another option to consider if you plan to pay part of the mortgage and other expenses involving the home. In this agreement, you and your partner can specify your respective obligations while you’re together. You can also decide in advance what will happen to the home in case you separate. A cohabitation agreement can also require that your partner get your permission before selling or mortgaging the home.
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Important! An acknowledgement of debt and a contract between common-law partners don’t give you the right to have the sale of the home cancelled if you didn’t give your permission. The only thing you can do is take legal action against your partner to get compensated. You only have the right to cancel a sale if you become an owner by buying a share. A notary or lawyer can recommend which documents would be most useful in your situation. |