Make everyone happy - Purchase contract

Good day everyone,

My girlfriend and I have "bought" a house. The purchase contract will be signed soon. We took out a loan amount of €400,000. I am contributing €125,000 as equity. So including all additional costs, it is €525,000. After much back and forth, we decided on a land register division of 1:2, as she is not contributing any equity and probably will not be able to make any payments in the next 5 years. But since she is also listed in the financing and would also be jointly liable in case of emergency, I think the division is okay.

My grandparents would also like to financially contribute in the coming years, but only under certain circumstances, as they have been negatively surprised more than once throughout their lives. There have also been some cases within the family over the last 80 years, so I can well understand their mistrust. Either she becomes pregnant and we get married, or we divide the payments so that in case of separation one can pay out the other with the amount of the contributed funds.

The first point is off the table, as she still wants to pursue her career in the next years.

Is something like this even possible despite the division in the land register? In case of separation, wouldn't one have to pay out the other person with a third of the value because that is what is stated in the land register?

The next problem is the event of death. My grandparents say that it will be sufficient to draw up a written will. Does this also apply to a house purchase, or would a partnership agreement actually be necessary here?

In the course of the next week, I wanted to consult a notary before going to the purchase contract.

It is a widespread misconception that you can pay out the other person and thus get rid of them, or that the other person can demand money that you then have to come up with. In the community, everything must be decided unanimously, and if after a separation one person does not agree, then everything is blocked. Then only the forced auction remains to dissolve the community. The house belongs to whoever is registered in the land register according to the respective shares; the compensation if someone has paid more or less is to be settled purely under private law. A will also applies to the house; however, for unmarried couples, the exemption limit is quickly reached.

and probably will not be able to make any payments for the next 5 years.

because she still wants to pursue a career in the next few years.

I am basically always very peaceful and usually don’t comment on such things (so please don’t classify this as a disturbance), because everyone should handle it the way they want. But what you’re writing just doesn’t sit right with me somehow! If I were you, I would feel totally treated unfairly or rather wouldn’t buy or build in that situation.

In your situation, the partner wouldn’t even be on the land register for me.

... Wants to "pursue a career" and won’t earn anything over the next 5 years, which means she contributes nothing!... is somehow, well, yeah. But maybe you just expressed yourself poorly!

My wife pays neither installments nor any additional costs or back payments, but she works three-quarters of the time and also takes care of the children and runs the whole household. Therefore, rightfully equally entitled in the land register without discussion.

In your situation, the partner would not even be in the land register with me.

And then of course accordingly not in the loan agreement either. I can’t say anything about that, I know great partnerships without a marriage certificate where being jointly listed in the land register would be totally fine and partnerships with a marriage certificate where I would not recommend it. The grandparents can advance funds to you as an inheritance. You can use that for the house. If they die, inheritance tax may apply. As a grandchild, there are exemptions. As a grandchild’s partner, there are not. I would take that into consideration. You can also have the shares adjusted in the land register when the grandparents make a special payment and agree that with your partner.

Why don't you buy alone?

And then, of course, logically not in the loan agreement either.

Sure, that would of course be the consequence and consistent. But as it sounds, it is nothing more than living rent-free at one’s own expense. We have, conversely, discussed this much more often than the other way around here in the thread.

I also think it has nothing to do with having or not having a marriage certificate. For me, it’s about fairness, so that one does not take advantage of the other.