Co-buying a home

{{whyLabel}}: Lenders evaluate the group based on the lowest credit score, which directly impacts your interest rate and loan eligibility.

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• Each partner pulls a full credit report from a major bureau.
• List all monthly debt obligations (student loans, car payments, credit cards).
• Calculate the combined Debt-to-Income (DTI) ratio to see what lenders will see.

{{doneWhenLabel}}: [All partners have shared their full financial profiles and calculated a combined DTI].

{{whyLabel}}: Unequal contributions are common in co-buying but must be documented to ensure fair equity distribution later.

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• Determine the total target down payment (typically 10-20% of home value).
• Decide if ownership percentages will match the down payment ratio or be equalized through higher monthly payments.
• Confirm the source of funds (savings, gift letters, or 401k loans).

{{doneWhenLabel}}: [A written breakdown of who is contributing what amount is agreed upon].

{{whyLabel}}: Centralizing funds prevents last-minute transfer delays and demonstrates financial commitment to the project.

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• Choose a high-yield savings account with no monthly fees.
• Set up automated monthly transfers for all partners.
• Use this account exclusively for the down payment, closing costs, and initial inspections.

{{doneWhenLabel}}: [Joint account is active and initial deposits are made].

{{whyLabel}}: This choice determines how your ownership is recorded on the deed and what happens if an owner passes away.

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• Select Tenants in Common (TIC) if you want unequal shares (e.g., 60/40) and want to leave your share to an heir in your will.
• Select Joint Tenancy (JTWROS) if you want equal shares and 'Right of Survivorship' (ownership goes automatically to the other partner upon death).
• Consult a real estate attorney to confirm which fits your specific relationship type (friends vs. partners).

{{doneWhenLabel}}: [Ownership structure is selected and documented for the title company].

{{whyLabel}}: This 'House Prenup' is the most critical document; it overrides state default laws that could otherwise force a messy sale.

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• Include a Buy-Sell Clause: Defines how one person can exit (e.g., right of first refusal for the other to buy them out).
• Define Expense Splits: Specify how mortgage, taxes, insurance, and utilities are divided.
• Set Default Rules: What happens if someone loses their job and can't pay?
• Use a generic template as a starting point but have it reviewed by a professional.

{{doneWhenLabel}}: [A signed, notarized agreement is held by all parties].

{{whyLabel}}: Unexpected repairs (e.g., a broken HVAC) are the #1 cause of conflict in co-buying arrangements.

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• Agree on a monthly 'maintenance tax' (e.g., 1% of home value per year divided by 12).
• Define a 'spending threshold' (e.g., any repair over $500 requires unanimous consent).
• Document who is responsible for 'sweat equity' vs. hiring professionals.

{{doneWhenLabel}}: [Maintenance rules are added to the Co-ownership Agreement].

{{whyLabel}}: You cannot submit a competitive offer in 2025/2026 without a pre-approval letter showing your combined purchasing power.

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• Submit all W-2s, tax returns, and pay stubs for all co-buyers to a lender.
• Request a 'Loan Estimate' to understand the total closing costs.
• Ensure the lender is experienced with 'non-occupant co-borrowers' if one person won't be living there.

{{doneWhenLabel}}: [A valid pre-approval letter is in hand].

{{whyLabel}}: Buying a house is a financial merger; living in it is a social one. Misaligned habits can ruin the arrangement.

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• Discuss guest policies, pet rules, and quiet hours.
• Decide on room allocation (e.g., who gets the master bedroom and does that person pay more?).
• Agree on a 'Conflict Resolution' process (e.g., mediation) if house rules are broken.

{{doneWhenLabel}}: [A 'House Rules' addendum is agreed upon].

{{whyLabel}}: In a co-buying scenario, you need an objective third-party report to ensure no one feels 'tricked' into a money pit.

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• Hire a certified inspector to check the foundation, roof, plumbing, and electrical.
• Attend the inspection together to ask questions.
• Use the report to negotiate repairs or a price reduction before closing.

{{doneWhenLabel}}: [Inspection report is reviewed and signed off by all co-buyers].

{{whyLabel}}: High-quality moving companies book up months in advance, especially for weekend moves.

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• Confirm the closing date with your attorney.
• Get 3 quotes from generic moving companies (check for insurance and licenses).
• Book the truck or full-service team for the day after closing to allow for a buffer.

{{doneWhenLabel}}: [Moving company is booked and deposit is paid].

{{whyLabel}}: Moving items you don't need costs money and takes up valuable space in your new shared home.

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• Go through every room (Kitchen, Bedroom, Garage) individually.
• Use the 'One Year Rule': If you haven't used it in a year, sell, donate, or recycle it.
• Coordinate with co-buyers to avoid bringing duplicate large appliances (e.g., two washing machines).

{{doneWhenLabel}}: [All unnecessary items are removed from the current residence].

{{whyLabel}}: You need electricity, water, and internet active the moment you arrive to avoid a 'dark' first night.

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• Call providers for Electric, Gas, Water, and Trash to set the start date for the new address.
• Schedule the 'Stop' date for your current residence for the day after you leave.
• Update your address with the USPS, your bank, and the DMV.

{{doneWhenLabel}}: [Confirmation emails for all utility transfers are received].

{{whyLabel}}: You will be too tired to hunt through 50 boxes for a toothbrush or a phone charger on the first night.

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• Pack a clear plastic bin with: toiletries, chargers, basic tools (screwdriver/box cutter), 1 change of clothes, and toilet paper.
• Include a copy of the signed Co-ownership Agreement and closing documents.
• Keep this box in your personal car, not the moving truck.

{{doneWhenLabel}}: [Essentials box is packed and easily accessible].