Debunking home buying myths for unmarried couples

Property sales and listings hit a four-year high in May, not least due to improved mortgage availability, lower interest rates on borrowing, and a rise in the amount of funds home buyers can borrow. Unmarried couples pooling this borrowing potential to buy their dream home together isn’t a new trend, but cohabiting couples need to understand they have little legal protection under English law.

May 2025 marked the most active month for UK home sales since the 2021 pandemic surge. According to Zoopla’s House Price Index, sales agreements hit a four-year peak last month, while figures published by Nationwide show the number of homes available for purchase rose by 13% compared to 2024.

Unmarried couples buying together

Office for National Statistics (ONS) data confirms that cohabitation prior to marriage is also rising. In 2022, the highest levels of cohabitation prior to an opposite-sex marriage were recorded, with 9 in 10 couples having previously cohabited. The data also shows that the percentage of married people fell below 50%, with couples choosing to live together without the formality of marriage*.

“Buying and living together is a great way to get on the property ladder or buy a bigger home in a good location,” says Gemma Whitchurch, Partner, in the Family team at Sydney Mitchell, “but what many people don’t realise is that cohabiting couples have limited legal protection under English law, nor do they share the same legal rights as married couples or civil partners.”

Myths

The term ‘common law husband and wife’ is a widespread misconception. An unmarried cohabiting couple does not have the same legal rights and protections as those who are married or in a civil partnership.

Another myth is that cohabiting partners automatically gain the same rights as married couples. In fact, they are unable to make a claim for any assets in the sole name of their partner – save for in very limited circumstances in respect of a property – regardless of how long they have lived together or whether they have children together.

“This can lead to significant legal vulnerabilities in the event of a relationship breakdown,” warns Gemma, “with the financially stronger party being able to walk away without any financial responsibility for the other.”

Property

The property rights of cohabiting couples are governed by outdated principles of trust and property laws. Subject to how a property is owned and how their financial affairs have been regulated throughout their relationship, a couple may or may not have a right to a share of the property if the relationship breaks down.

What can cohabiting couples do to avoid complications?

Have a Cohabitation Agreement

Currently, cohabiting couples can take some measures to protect their property interests with a Cohabitation Agreement. This means couples can regulate their property ownership and how they intend to conduct their financial affairs. Agreements should be reviewed in the event of a change in circumstances, such as a house move or investment into the property.

Make a Will

A Will ensures the share of any property or assets is passed on in line with your wishes after death, by including the name of your cohabiting partner. Making a Will is also important to ensure a partner is included in inheritance plans.

Declaration of Trust

When a cohabiting couple purchases a home together, a Declaration of Trust can help provide clarity and protection, with the inclusion of all financial matters including regular/ongoing contributions, and plans for the property in the event of a break-up.

TOLATA

If cohabiting couples separate and there is a dispute over how much of the property they each own and/or whether the property should be sold and/or whether they have an interest in the property, they can make applications under the Trusts of Land and Appointment of Trustees Act 1996 (commonly known as TOLATA claims).Applications under TOLATA give courts the power to make orders regulating property ownership, including ordering the sale of a property, declaring the parties’ beneficial shares in the property, and making orders on how the property’s trustees exercise their powers.

Get in touch

For pragmatic, no-nonsense advice and practical solutions on how our team can help you with your family or divorce matter, please get in touch on 0121 746 3360.