Living Together in Ontario: What Co-Habitating Couples Need to Know About Real Estate

You’ve built a life together — you share a home, finances, and maybe even a dog. But in the eyes of Ontario law, if you’re not married, you may have far fewer protections than you think.

This post is the first in a series of articles that discuss where cohabitating couples may be at risk, and steps they can take to protect themselves and their partners.

Introducing Tom and Mary

Tom and Mary met through mutual friends when they were both in their 40s. Tom was divorced and owned his own home, and Mary had been a life-long renter. After a short courtship, Mary moved into Tom’s house and began contributing to a shared budget including home maintenance, but her name was never added to the title. The two lived together for 10 years but never married and did not have children.    

Following a tragic accident, Tom passed away suddenly and without a will. 

The Real Estate Consideration: Who’s on Title?

The Family Law Act, R.S.O. 1990, Chapter F.3 grants married spouses automatic rights to possess the matrimonial home, but that protection does not extend to common-law partners. If only one partner’s name is on title and they die without a will, the surviving partner has no automatic right to remain in the home — it passes to the deceased’s next of kin.

Because Tom and Mary were living as common law partners according to the Family Law Act, Mary only received what Tom had designated to her in writing with a life insurance company and joint accounts. Tom’s other assets, which included his house and most of its contents, went to his parents as his next of kin.

What could Tom and Mary have done differently?

• Tom could have amended the title of his property to include Mary. Had this been the case, the property, or a designated portion of the property’s value, would have transferred to Mary as the survivor, but all other assets would still have transferred to his parents.

• Tom could have written a will wherein he outlined what assets he expressly wanted Mary to inherit in the event of his death.

We’re here to help

Life transitions such as co-habitation, marriage, divorce, and/or death will have a significant impact on your real estate, will and estate plans.

McMurter & Associates can be a trusted advisor, helping you to navigate real estate transactions (including advising on title structure) and with wills and estate planning (including Powers of Attorney and beneficiary review). 

Cohabitation agreements are prepared by a family lawyer, and we would be happy to refer clients to appropriate resources. 

Disclaimer: This article is intended as an informative piece about the subject. It should not be taken as legal advice. We recommend you connect with a real estate lawyer or estate lawyer about your specific legal situation.