How Married and Unmarried Couples Can Buy Property in Texas

Buying a home together is an exciting milestone—whether you're married, engaged, or simply planning a future with someone you love. In Texas, how you take title to property matters, especially when it comes to ownership rights, taxes, and future decisions about the home. Here’s a breakdown of how couples—married or unmarried—can buy property in Texas, along with some insight into buying under a business or trust.

🔑 For Married Couples: Community Property with Right of Survivorship

In Texas (a community property state), any property purchased by a married couple during the marriage is generally considered community property, unless otherwise specified.

Options for Married Buyers:

1. Community Property

   • Each spouse owns 50% interest in the property.

   • If one spouse passes away, their share may go through probate unless otherwise planned.

2. Community Property with Right of Survivorship

   • Avoids probate: when one spouse dies, the surviving spouse automatically becomes full owner.

   • Must be formally declared in the deed.

3. Joint Tenancy with Right of Survivorship

   • Similar to community property with right of survivorship.

   • Less commonly used by married couples in Texas, but still available

     
     

👫 For Unmarried Couples: Joint Tenancy or Tenancy in Common

Unmarried couples don’t have the automatic legal protections that married couples do in Texas, so it’s especially important to discuss ownership upfront.

Options for Unmarried Buyers:

1. Joint Tenancy with Right of Survivorship

   • Both parties own equal shares.

   • When one partner passes away, the other automatically inherits their share—but this must be clearly stated in the deed.

2. Tenancy in Common

   • Each party can own a different percentage of the property (e.g., 60/40).

   • When one owner passes, their share goes to their estate—not the co-owner—unless otherwise specified in a will or agreement.

💡 Pro Tip: Unmarried buyers should consider signing a co-ownership agreement that outlines what happens if one person wants to sell, moves out, or passes away.

🏢 What About Buying Under a Business Name?

If you're considering purchasing property under a business entity—like an LLC—here’s what to know:

• The LLC must be registered and in good standing in Texas.

• All documents and financing must reflect the business entity as the buyer.

• Offers liability protection and is often used by investors.

• Expect a slightly more complex closing process and possibly different financing terms.

📝 Buying Under a Trust

A revocable living trust or family trust can be another smart option, especially for estate planning purposes.

• Keeps the property out of probate.

• Allows for seamless transfer of ownership to beneficiaries.

• Still allows the buyer to retain full use of the property while alive.

• Must be created by an attorney and the trustee will be listed on the deed.

Final Thoughts

The way you choose to take title can impact more than just your names on paper—it can affect how decisions are made, how taxes are handled, and how your legacy is passed on.

Before you close on your new home, I always recommend consulting with a real estate attorney or estate planner to make sure your ownership structure matches your long-term goals.

As always, I’m here to guide you through the entire process—from contract to close and beyond.

 Let’s get started. Reach out now to, your trusted Realtor®, at 254-307-1596 or connect with me on social media @WatsonInvestRealtor. Let's get you into your dream home!