Buying a home together is a big step – emotionally and financially. But if you and your partner aren’t married, it’s worth knowing that your legal rights are not as clear-cut as you might assume. Despite the common myth, there’s no such thing as a “common law marriage” in England and Wales. If things go wrong, this lack of protection can lead to confusion, disputes, and financial loss.
That’s where a cohabitation agreement comes in.
At Dudden Law, our family law team regularly supports clients who are purchasing property as a couple and want peace of mind through clear legal agreements. In this blog, we explain when you should consider a cohabitation agreement, especially if you’re buying a home together.
What is a Cohabitation Agreement?
A Cohabitation Agreement, is a legally recognised contract between two people who live together but are not married or in a civil partnership. The Agreement deals with ownership of property, household bills, liabilities, possessions and ownership of bank accounts for the duration of the Agreement as well as what happens if you separate.
As long as both parties to the Agreement have been open and honest about their finances and assets, neither party was placed under any undue influence to sign the Agreement, both parties intend to create legal relations and there has been consideration it is likely that you would be able to enforce a properly drafted Cohabitation Agreement as it is a legal contract between both parties.
The purpose of such an Agreement is to create clarity, fairness, and protection for both parties.
When should you have a cohabitation agreement?
You’re buying a property together
Buying a property with a partner is a big step, emotionally and financially and if you are not married or in a civil partnership it is important to know that you do not share the same rights and protections as married couples do. Despite the common myth, there’s no such thing as a “common law marriage” in England and Wales.
It is important to consider having such an Agreement in place in these circumstances especially if you and your partner are contributing an unequal amount of money towards the deposit. A Cohabitation Agreement can clearly set out who owns what share of the jointly acquired property, how payments in respect of the mortgage, utility bills, council tax and insurances will be shared and what should happen in the event the relationship ends.
You may also want to consider having a Declaration of Trust put in place alongside the Cohabitation Agreement to further protect your interest in the property.
You’re making unequal contributions
In the event one party is paying a larger share of the deposit or of the mortgage payments, a Cohabitation Agreement helps protect your financial interest in the property by confirming each party’s legal and beneficial interest. In the absence of such an Agreement, the beneficial interest may be assumed to be on an equal basis, regardless of who paid what, which may be in contradiction with your wishes.
You already own your property and your partner is moving in with you
If you have already purchased your property in your sole name and you decide to start cohabiting together in your property a Cohabitation Agreement can again set out each other’s contributions towards payments in respect of the mortgage, council tax, utility bills and insurances. In addition, such an Agreement can also restrict and prohibit your partner from arguing that they have a beneficial interest in the property in the event you separate.
It is important to seek advice from a solicitor as to what your partner should and should not contribute towards and how payments should be made in order to ensure that the property remains yours and that your partner does not have grounds to argue that now have an interest in your property.
You want to avoid future disputes
Couples often assume that things will always be fair and amicable in the event they separate, however, this is very rarely the case as circumstances can change. A Cohabitation Agreement provides a roadmap for separation, making separations less stressful, and potentially avoiding costly legal battles.
Why is it especially important for unmarried couples?
There’s a major misconception in the UK that couples who live together gain similar legal rights to married couples over time, however, this is not true.
Unmarried couples who cohabit have no automatic claim to each other’s property, income, savings, or pensions regardless of how long you have lived together. If one partner dies without a Will, the surviving partner will not inherit anything, including the family home.
A Cohabitation Agreement cannot override inheritance laws, but it helps ensure that both partners’ intentions are clear, and it forms part of a sensible legal safety net when paired with a will or life insurance. It is strongly advised that all unmarried couples also put a Will in place to create certainty.
Advantages of a Cohabitation Agreement
✅ Clarifies ownership of property, income, savings and possessions
✅ Protects each person’s financial contributions towards a property
✅ Helps avoid disputes and misunderstandings
✅ Sets out a clear exit plan if the relationship ends
✅ Provides peace of mind whilst living together
✅ Can be adapted as circumstances change (e.g. buying a second property)
What do couples decide not to have a Cohabitation Agreement?
Some couples hesitate because they worry it’s unromantic, they don’t want to spend money on legal fees, they do not believe that having such an Agreement is necessary or they do not know that such an Agreement exists.
If you do not have such an Agreement in place, it could potentially be more costly if things go wrong. The upfront cost of having a Cohabitation Agreement prepared is modest compared to the potential cost of resolving property disputes later, in particular where property disputes lead to litigation.
The Agreement is a private document that is not registered with any government body and can be easily updated should your circumstances change.
How Dudden Law can help
If you’re buying a home with your partner or your partner is moving into your solely owned property, you may wish to consider having a Cohabitation Agreement put in place. Our Family Law specialists at Dudden Law work closely with our Conveyancing team as well as our Wills & Probate to create clear, fair Agreements that reflect your circumstances and protect your interests.
Contact our Family Law team today and we will guide you through the process, explain your options clearly and ensure your Agreement mirrors your wishes.
📞 Call us or visit family@duddenlaw.co.uk to book a consultation.
Written by
Stacy Bruce
Family Solicitor
