Your guide to buying a house as a married couple

The general process for buying a house is the same whether you’re a single buyer or a married couple. You’ll need to understand how much house you can afford, review your mortgage and financing options, and then choose a real estate agent to help you through the process of searching for and buying a home. 

There are some special considerations for married couples, though. For example, applying for a mortgage under one name could help you get better mortgage rates, and putting both names on a house’s deed may not be the best option for everyone.  

Can a married couple buy a house under one name?

Buying a house under one name can refer to two different things: taking out a mortgage under one person's name or putting only one spouse's name on the title deed.

In most states, a married couple can apply for mortgages, pay for a house, and title a house under the name of just one spouse. That also means it's technically possible to buy a house without your spouse and without them knowing.

‍The key exception is in community property states, which consider both spouses equally on a mortgage application and for home ownership — regardless of the married couple’s wishes. (We discuss community property states and marital property in a later section.)

In certain cases, having one spouse take out the mortgage loan, and/or one spouse's name on the title, can be a good option for a couple.

Should both spouses be on the mortgage?

Unless you're making a cash offer on a house, most people need to take out mortgage, so the first step for couples will be to decide whether to put one or both names on the mortgage loan application. This usually comes down to your personal financial situation. 

 4 reasons to put both spouses on the mortgage

• ‍You might get a better mortgage deal: If both spouses are in good shape financially, then applying for a joint mortgage under both names could get you a lower mortgage rates or a bigger loan amount.
• You can both make monthly mortgage payments: If both spouses are responsible for the mortgage, it may be easier to keep track of payments so that they’re always paid in full and on time.‍
• You want to buy another house together: If you plan to buy another house together in the future, then paying a first mortgage together can help. Properly paying off a long-term loan can raise your credit score and show lenders that you’re responsible.‍
• You want a shared ownership: Having your names on the title are what determine ownership, but for some couples, fully combining finances is an important symbolic move and could be a reason to have both spouses be borrowers.

→ Learn how much you should save to buy a house

3 reasons to put only one spouse on the mortgage

• One spouse has low income or high debt: Lenders will look at your debt-to-income ratio and if one spouse has low income or high debts, the ratio could be unfavorable (and result in worse mortgage terms) than if you have only one person's name on the mortgage.
• One spouse has lower credit or a mark on their credit report: If there is a big discrepancy between each person's credit score, then it not be a good idea to take out a joint mortgage. A bad credit score or poor credit history can affect the terms of the loan you can qualify for. ‍
• You’re unsure of your future together: If you’re unsure that you’ll stay married for the full length of a mortgage, then having only one name on the loan could help avoid future headaches.

Related: Learn about buying a house with a friend

Does getting married affect your credit score?

Getting married doesn’t affect your credit score, so if one spouse has a much stronger credit history or much less debt, you might get better loan options by using just that spouse’s name. This could include cases where one spouse has high debt but low or inconsistent income (like if they’re self-employed and payments are irregular).

→ Related: What's the ideal credit score for buying a home?

Should both spouses be on the title?

Even if one spouse is on the mortgage loan, you can still put both spouses on the deed, ensuring they both own the property.

A deed is the physical document that shows who owns the title, or the legal right to the property. (Learn more in depth about title vs deed). Having the title, which proves ownership interest, reflect a married person's name is what will matter for spouses if they ever come to disagreements about who owns what, such as in divorce proceedings.

2 reasons to put both names on the title

Many married couples choose to own their homes jointly and have the deed reflect both spouse's ownership. Reasons you may want to put a house under both of your names include:‍

• To more easily split responsibilities: Having two people who equally own a house can make ownership easier because either spouse can sign documents, or deal with homeowners associations and condo boards.‍
• To simplify ownership when one spouse dies: When one spouse dies, the other gets full ownership. This setup can prevent the surviving spouse from having to worry about dealing with paper and probate during an otherwise difficult period to transfer the house into their name.

4 reasons to put only one spouse's name on the title‍

• To keep the property away from creditors: As an example, If one spouse has defaulted on debts and it’s possible creditors could try to seize that spouse’s property as payment, buying a house under the other spouse’s name could help protect it from those creditors.
• You’re using pre-marriage money: If you’re a house with money that you earned entirely before you got married, buying the house under just one name is one way to make sure only you own that home. This strategy could be especially important for couples in community property states.‍
• You and your spouse have different heirs: In general, ownership of a married couple’s house will pass to the surviving spouse when one spouse dies. The surviving spouse can then decide who receives the property when they die (usually their children). If you want to guarantee that your chosen heirs will receive the property, and especially if they are different than what your spouse would have wanted, then having the house under one name may be a good idea. This can be helpful to people who have a blended family and are considering adding their spouse from remarriage to the deed.

Looking to buy a house? Orchard can help simplify the process, especially if you need to sell and buy at the same time. Get started.

Adding a spouse to the deed of a house

You can add a spouse (or someone else) to the deed when you buy a house, or even later down the road. However, if you opt to do this and still have a mortgage, it’s possible your mortgage lender will require all people on the title to be responsible for the mortgage.

Speak with your mortgage lender to see if you can add a spouse to the deed, but not the mortgage. If it is possible, then using a quitclaim deed is likely your cheapest option to get your spouse on the title.

If you’re trying to add someone to the deed to make ownership easier to transfer after you die, you may also want to consider putting your house in a trust or using a transfer-on-death deed if your state allows them.

Can you remove a spouse from the deed of a house?

It is possible to remove someone from your deed, regardless of whether you’re getting a divorce or simply want to change who owns the house. If title owners (people named on the deed) agree to remove someone, then the easiest and cheapest option is usually to use a quitclaim deed. 

The documents for quitclaim deeds are often available for free online, but state laws vary so check your local laws to find notarization rules and where exactly you need to file the deed. Living in community property states will also make it difficult to remove a spouse’s ownership of the home, so it’s best to seek legal advice for your situation.

Community property states vs. common law states

States generally operate as either common law or community property states. In common law states, which is most states, ownership of a property belongs to whomever bought it. So if one spouse buys a house under their own name, they completely own that house. Applying alone during the mortgage process will also mean the lender only considers the applying spouse’s financial situation.

In the dozen states that have community property laws, any property purchased by a married couple is equally owned by the spouses. Importantly, even if only one spouse is applying for a mortgage, community property law can allow a lender to consider the financials of both spouses - incomes, debts, credit scores, etc. -during mortgage underwriting. Both spouses will also ultimately co-own the property, so having one spouse try to buy or claim sole ownership of a house may not be possible.

Community property laws don’t affect property purchased by two individuals before marriage. A house purchased before marriage will still belong to the person who purchased it. (However, rules can get tricky around death, with a surviving spouse usually having rights to the property even if it was purchased solely by the deceased spouse.) Speak with a lawyer if you want to buy or own property apart from your spouse or prevent a spouse from getting your property after you die.

Do I live in a community property state?

There are currently 9 community property states:

• Arizona
• California
• Idaho
• Louisiana
• Nevada
• New Mexico
• Texas
• Washington
• Wisconsin

There are also 3 states that allow you to opt in to community property law:

• Alaska
• Tennessee
• South Dakota

Not all community property states will recognize domestic partners the same way they would a spouse, but California, Nevada, and Washington may depending on your situation.

What about buying a house when you're married but separated?

If you're buying a house while married but separated, there are important considerations to keep in mind:

1. Legal implications: The legal status of your separation can affect property ownership and division. Consult with a divorce attorney or legal professional to understand your rights, obligations, and any potential impact on the home buying process.
2. Communication and agreement: Open and clear communication between both spouses is crucial. Reach an agreement on how the property will be owned, managed, and potentially divided in the future. Consider drafting a legal agreement, such as a separation agreement or property settlement, to protect both parties' interests.
3. Financial implications: Assess the financial aspects, including the impact of each spouse's credit score, income, and debt on the ability to secure a mortgage. Be aware that lenders may consider the marital status and potential financial risks associated with separation.
4. Future plans: Consider your long-term plans and whether purchasing a house while separated aligns with your individual goals and the potential for reconciliation or divorce. It may be wise to seek advice from a financial planner or counselor to evaluate the best course of action.

Navigating the home buying process while married but separated can be complex, so it's essential to seek guidance from legal, financial, and emotional professionals to make informed decisions that protect your interests.

FAQs

Here are even more answers to your questions about navigating the homebuying process with your spouse.

Is it better to be married when buying a house?

While being married can have certain advantages when buying a house, like increased financial stability and shared responsibilities, it ultimately depends on your specific situation. Factors like credit scores, income, and individual debt can influence the decision and can even help increase your buying power. You should assess your financial goals, discuss your options as a couple, and consult with a financial advisor or real estate professional to determine what is best for you.

Will my bad credit affect my husband buying a house?

If you have bad credit, it can potentially affect your ability as a couple to secure a mortgage or impact the terms and interest rates offered to you. Lenders typically consider both partners' credit scores when assessing mortgage applications. If one spouse has bad credit, it could lead to higher interest rates or even denial of the loan. However, if the spouse with good credit can qualify for the mortgage independently, it may be possible to proceed with the purchase. Consulting with a mortgage lender or financial advisor will help you understand the specific implications of your credit situation.

How does being married impact the homebuying process?

Being married can impact the home buying process by providing combined income, shared financial responsibility, joint ownership, and potential tax benefits. These factors can increase your borrowing capacity, allow you to afford a more expensive home, share the financial burden, and provide legal rights and protection as a couple.

What if only one spouse wants to be on the mortgage?

It is possible for only one spouse to be on the mortgage, especially if the other spouse has bad credit or lower income. However, it's important to consider the implications of this decision. Only the spouse on the mortgage will be legally responsible for the loan, and their credit will be primarily considered during the application process. This arrangement may limit the non-borrowing spouse's rights and protection in case of divorce or other legal matters. It's advisable to consult with a lawyer or financial advisor to understand the potential consequences and explore alternatives.