Buying a Home Together in Indiana: What Couples Need to Know About Title and Ownership
Missy Horner
President, Empire Title Services | 20+ Years Experience
Quick Answer: How Should Couples Hold Title in Indiana?
Married couples: Can hold as joint tenants, tenants in common, or tenants by the entirety (strongest protection).
Unmarried couples: Joint tenancy (survivor gets full property) or tenants in common (each owns a share that goes to their estate).
Key decision: Do you want the surviving partner to automatically inherit, or should your share pass through your will?
Recommendation: Consult an attorney before closing - this decision has major legal and financial implications.
Buying a home together is one of the most significant financial commitments a couple can make. Whether you're married, engaged, or unmarried partners, how you hold title to the property affects your rights, your taxes, your estate plan, and what happens if the relationship ends. Here's what you need to know before you sign the deed in Indiana or Ohio.
The Three Ways to Hold Title Together in Indiana
1. Joint Tenancy with Right of Survivorship
Each owner holds an equal, undivided share. If one owner dies, their share automatically passes to the surviving owner - no probate required.
Advantages:
- Simple transfer at death - no probate
- Clear ownership of the whole property
- Easy for lenders to understand
Disadvantages:
- Shares must be equal
- Can be severed by one party's actions
- Surviving partner gets it - even if you wanted children to inherit
Best for: Couples who want the survivor to automatically inherit the property without probate.
2. Tenants in Common
Each owner holds a separate, divisible share - which can be equal or unequal. Each share can be sold, mortgaged, or left to heirs independently.
Advantages:
- Unequal shares allowed (e.g., 60/40)
- Your share goes to your chosen heirs
- Flexible for estate planning
Disadvantages:
- Your share goes through probate at death
- Co-owner's heirs could end up on the title
- More complex if relationship ends
Best for: Partners who contributed different amounts, or who want their share to go to children from a prior relationship.
3. Tenants by the Entirety (Married Couples Only)
Available only to legally married couples in Indiana. Treated as a single unit - neither spouse can convey or encumber the property without the other's consent.
Advantages:
- Strong creditor protection
- Automatic survivorship
- Cannot be severed by one spouse alone
Disadvantages:
- Married couples only
- Both must agree to any sale or refinance
Best for: Married couples who want maximum protection and automatic survivorship.
Special Considerations for Unmarried Couples
Protect Yourself With a Co-Ownership Agreement
Indiana law does not automatically protect unmarried partners the way it protects spouses. Before closing, consult an attorney to draft a co-ownership agreement covering:
- Who pays what: Down payment contributions, monthly mortgage, taxes, and maintenance
- Buyout provisions: What happens if one partner wants to sell and the other doesn't
- Separation procedures: How the home will be valued and divided if you separate
- Death provisions: What happens to each partner's share if one passes away
Frequently Asked Questions
What is the difference between joint tenancy and tenants in common in Indiana?
Joint tenancy with right of survivorship means the surviving co-owner automatically inherits the whole property when one owner dies - no probate. Tenants in common means each owner's share passes to their estate or heirs at death. Married couples have a third option: tenants by the entirety, which provides additional creditor protection.
Can an unmarried couple buy a house together in Indiana?
Yes. Unmarried couples commonly buy homes together in Indiana as joint tenants or tenants in common. Because Indiana's marital property laws don't apply, it's strongly recommended to create a written co-ownership agreement before closing to address what happens if the relationship ends or one partner dies.
What happens to the house if an unmarried couple separates in Indiana?
Without a co-ownership agreement, an unmarried couple must negotiate. If they can't agree, either partner can file a partition action in Indiana court to force a sale. A pre-purchase co-ownership agreement is the best way to avoid expensive litigation if the relationship ends.