My girlfriend and I both own homes and plan to purchase a new home together. Any advice on how to handle this would be appreciated!?

Asked by ndmech, Columbus, OH Sat May 7, 2011

My home value is $180,000. Her home value is $130,000. New home value will be around $250,000. Her home is a condo in a development that is still building and we think it may stay on the market for a while. We're thinking about if it isbetter to move in to one of our houses, rent hers out if it doesn't sell, sell mine first and live in in hers for a short period of time, and basically anything else that would make the most sense. We'd like to do what ever will put us in the best financial position.

Help the community by answering this question:

+ web reference
Web reference:


ndmech, Home Owner, Columbus, OH
Mon May 9, 2011
Thank you all for your advice. I agree that well need market studies completed on both properties and if we occupy the new house before the wedding bells, we'll need to look at a partnership agreement. The market is so touchy it is difficult to predict when these houses will go and how long we'll be stuck in temporary residence limbo. I wish there was a clear advantage doing one thing or another but it seems like we just need to make a decision and go with it.
0 votes
Dallas Texas, Agent, Dallas, TN
Sun May 8, 2011
Your plan sound logically to lease her out if does not sell, then have yours on the market if it sells then based on rental agreement move back into her condo till it sells.

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
0 votes
Jeff Paeltz, Agent, New Albany, OH
Sun May 8, 2011
Hi ndmech,

WOW! Tough question with so many avenues to explore. My first gut reaction when you mentioned " girl friend" and buying property together was...see an attorney. I don't want to be the fly in the ointment but if you both tie yourself to a fixed asset and things don't work out you would need to be set up in such a way that you can part ways amicably. Consult with an attorney. As to the last part of your question," whatever will put us in the best financial position", consult with an accountant. Their advice is priceless in such situations. Realtors can answer questions about real estate value, and offer advice on buying and selling real estate, but there is much more going on here. Please, I can't stress this enough, please spend the few hundred dollars and seek the advice of an attorney and an accountant. There is too much money and real estate invovled here for a simple answer. It will be the best money you ever spent in a situation like this. I know an accountant that owns several apartment complexes in Columbus, Dayton an some in Cleveland. Please let me know if you want me to pass his name and number to you.

All the best,

Jeffrey Paeltz, SFR

0 votes
Carol Reeves, Agent, Lewis Center, OH
Sun May 8, 2011
ndmech, Columbus, Ohio. I would love to help you with this question.
1st, you are right that a home or condo will always take longer to sell when the builder is still building. The other part is that some builders have cut the price to finish selling all of the homes in a community.
You will for sure want to get a market study from a qualified Realtor on both homes. This is free from a Realtor.
I may say that if you are planning on living in one while the other sells will there be double the furniture to make it look crowded? If so may not be a good idea.. You need to make the home look bigger then it is. not like you are tight for space because the buyers will think they will have the same problem. Another thing, if you are thinking of going to rent one. The bank will not count the income from that rental until you have a written lease and have proof of the income for 12 months. (in most cases) they used to say rent it and we won't count it. But now they want proof of history. Meet with a banker to discuss what you qualify for if you rent it and if you have to sell it to buy. Rules have changed! I have been never busier in real-estate so don't listen to the news the buyers like yourself are still buying. They are however watching that they do not overpay for the market. Today’s market, sadly that can affect your offers when you sell but youshould be able to recoup when you buy.
Carol Reeves / Remax Achievers
Columbus, Ohio
Web Reference:
0 votes
Angela Travis, Agent, Grove City, OH
Sat May 7, 2011
If you decide to just rent the condo and sell your home, you may only be able to get financed for the new house in your name. This would settle the issue of whose name to put it in. Condos in the Columbus area arer a little challenging, especially if it is not an FHA approved complex and they are still developing. An alternative would be a lease purchase option. I would be more than happy to show you numbers for what is selling in both areas and give you more details about yur options if you are not currently working with an agent.

Angie Travis
Barnett Realty
0 votes
Mark Moody, Agent, South Portland, ME
Sat May 7, 2011
Sell both, bank both of your proceeds jointly, get married and buy the new house with a joint debt.
0 votes
David Cooper, Agent, Los Angeles, CA
Sat May 7, 2011
I hope you get some kind of legal agreement as to this girfriend/boyfriend buying property together. You might want to form some kind of partnership, in case the relationship doesn't last forever.

- David Cooper..Las Vegas Foreclosure Investor in Bank Owned REOs with Cash Flow . email or call for FREE daily list +1-7024997037
0 votes
Marion, , Columbus, OH
Sat May 7, 2011
First I would contact a realtor to determine a fair market value for your properties. A realtor can do a Comparative Market Analysis, comparing your property to other "like" homes that have sold in the immediate area in the past 3-6 months. Usually this is done for no charge. Then you can decide what your next step will be; sell, keep the property and/or rent. An appraiser can also do this, but for a charge. It should be a realtor who does business in your area. If they are not willing to do a Comparative Market Analysis for you, keep searching until you find someone who will. Good Luck...
0 votes
tom roberts, Agent, powell, OH
Sat May 7, 2011
mech,are you saying 180 in the auditor?not knowing where ur house is or the condo.Ur right the condo will be on mkt too long,you should rent it,if you can,cuz ur ratio will be off.I'd just move into urs at this point.
0 votes
Stephanie Le…, Agent, Miami Lakes, FL
Sat May 7, 2011

Molly is correct... I would say the first step is to find out how much you owe on the current homes you leave in and at the same time contact an agent in your area to perform a CMA on your properties to know if you will even be able to sell them and clear the payoff amount. If you can not clear the payoff amount from the sale ask the agent to provide you with a rental market report. This will tell you how much you can rent the home for.

Once you know if you can sale or if you need to rent the home you can contact a lender and see how much you would qualify for if you were to rent the property and/or sale the home.

Then you will be able to see what would place you in the best financial position.

Good luck..
Web Reference:
0 votes
Doug Turlo, Agent, Westerville, OH
Sat May 7, 2011
The first question is do you both have to sell to buy? You should talk with a few lenders first to see what your buying possibilities are with regard to lending. You'll need to meet certain debt to income ratios, or depending on how much money you have for a downpayment, there are some lenders that will lend regardless of your debt to income ratio as long as your credit score is good enough. With almost any home purchase it comes down to what a lender is willing to do for you unless you can pay cash. If you rent the condo that will only be counted as 75% of the rental income with regard to your debt to income ratio. I can take a closer look at your situation if desired, to figure out potential sale prices, and buying possibilities. And I can tell you about the different types of lenders out there and which one may be best for your situation. There are huge differences in lenders based on whether they sell their loans or hold them in-house. You can contact me at
0 votes
Molly Hay -…, Agent, Columbus, OH
Sat May 7, 2011
Your first step would be to call a lender to find out financial what your next step is. A lender can determine or suggest a loan and let you know if you need to sell one or both properties in order to move up! By speaking to a lender they will let you know how much money you will need for your next purchase, the type of loan, and what interest rate/payment you are looking at. After speaking to the lender, your 2nd step would be to interview a few realtors about listing one or both properties. Have the realtor tell you what you need to do to get the home(S) sold or rented and give you a process to sell and buy! Do you have an agent in mind? I have a program that may help you accomplish your goals by saving you money!!
0 votes
Search Advice
Ask our community a question

Email me when…

Learn more