The short answer is: Yes! You can absolutely buy a property without your spouse. Whether driven by financial strategy, asset protection, or a change in relationship status, solo home buying is becoming increasingly popular in Ontario.  

In our experience, solo homebuyers almost always fall into one of four distinct categories…

• Relationship Transitions: During a divorce or separation, some spouses choose to purchase a home before the divorce is finalized. While it’s entirely possible, it’s important to work closely with your lawyer to ensure the new property does not fall into the pool of matrimonial assets (if that’s your intention).
• Financial Reasons: Many couples maintain entirely separate financial portfolios, either by choice or because one partner carries heavy debts or a bad credit score.
• Asset Protection: Some families choose to keep the matrimonial home in one spouse’s name if the other spouse engages in a high-risk business activity. While the Family Act protects the non-titled spouse’s interest in the property, the Family Act doesn’t pass those rights onto creditors.
• Saving First-Time Buyer Incentives: Under some circumstances, your spouse is still entitled to their Home Buyer’s Savings Account, their RRSPs Home Buyers Plan, and their First-Time Land Transfer Tax Credit. But each has it’s own criteria, with the land transfer tax credit being the most stringent… it is set up so that spouses do not “double dip” the tax credit buy purchasing the first home in one partner’s name, and purchasing the next in the other partner’s name.

 

Marriage, Real Estate, and the Family Law Act

Many buyers mistakenly believe that keeping a spouse’s name off the deed protects the property from a post-divorce split. In reality, Ontario law subjects any property bought before or during a marriage to strict equalization rules, much like investments, stocks, and savings.

Properties owned during marriage fall into two categories; 1, the matrimonial home (a home that the spouses use regularly like the family home or a cottage); and 2, investment properties owned during the marriage. 

Leaving your spouse’s name off the title fails to shelter the asset from the Family Law Act’s equalization process. To truly protect a solo property purchase from being divided down the road, it must be explicitly excluded using a legally binding contract. In situations like this, it’s important to get a prenup/postnup or a separation agreement drafted by your lawyer.

 

Keeping Marital Assets Safe From Creditors

For families where the primary earner works in a high-risk business environment, owns a corporation, or faces potential professional liability, keeping their name off the property title is a classic wealth-protection strategy.

Ontario’s Family Law Act provides a non-owning spouse with strict occupancy and equity rights at the end of a marriage. However, debt collection laws do not mirror family law. Creditors cannot come after a piece of real estate that is not legally owned by the debtor. By purchasing a valuable home solely in the name of the unexposed partner (or adult children), business professionals protect their equity and their families financial wellbeing. 

 

Using One Partner’s Good Credit to Purchase the Home

Sometimes, solo homebuying boils down to a pure numbers game. Even with decent credit, a spouse carrying heavy lines of credit, car loans, or student debt can tank your collective mortgage qualification.

When a married couple applies for a mortgage together, lenders only look at the lowest score. That means one low score, or high debt load, drastically pulls down your combined pre-approval.

 

I’m Going Through a Divorce—Can I Buy a Home Without My Partner?

Navigating a property purchase during a breakup works logistically, but a spiteful partner can quickly derail your progress during a contentious divorce. Work closely with your lawyer to ensure you’re in the clear before placing an offer on your next home.

Think About Leasing First

Because of the immense legal complexities, most family lawyers recommend renting for a year. A 12-month lease passes quickly: considering it takes 2 to 3 months of shopping to find the right property, and another 2 to 3 months to accommodate closing, you will actually be back shopping for a home in 6 months.

Getting a Mortgage During a Divorce

Lenders are risk-averse. Lenders want to see a clear separation agreement, and a full picture of all your assets and liabilities post-divorce. If you are getting support payments after the divorce, lenders need to see a history of consistent payment before they can use them as proof of income.

If you still co-own your former matrimonial home, its monthly mortgage payments will count against your borrowing capacity, which often means you must wait until the family home is sold firm before buying your next property.

The risks:

Homes purchased after a definitive legal separation are generally exempt from the equalization process. However, two major vulnerabilities remain:

Disputed Dates: If your ex later disputes the official date of separation in court, your new home could be pulled right back into the matrimonial asset pool.

Traceable Funds: If a single dollar used for your down payment came from a joint account or an account funded pre-separation, your spouse can argue that matrimonial assets were used to acquire the property, giving them a stake in it.

Always work closely with your lawyer to ensure you minimize risks in your purchase. Buying a property is never 100% risk free, even outside of complicated cases like divorce, but with the guidance of professionals, you can bring that risk down to practically zero.

 

Can We Save My Spouse’s First-Time Home Buyer Tax Credits?

Many couples try to buy their first home exclusively in one partner’s name to “save” the other spouse’s first-time buyer perks for a future property. While a clever idea on paper, Ontario’s legal framework closes most of these loopholes if they are being obviously exploited.

Land Transfer Tax Credits: If you are legally married or living common-law at the time of purchase, and you move into the home together, your spouse cannot save their Land Transfer Tax credit for later. The legal framework is explicitly designed to prevent couples from double-dipping this benefit.

FHSA (First Home Savings Account): There is a silver lining here. If your spouse’s name is kept off the title and they do not legally own the home, they can still utilize an FHSA to build tax-free wealth, provided the account is opened before they officially move into the home you purchased. Once registered, they can leverage those tax-free funds for a future purchase.

RRSP Home Buyers’ Plan: Timing is crucial. If a non-owning partner lives in a home owned solely by their spouse for too long, they will lose their “first-time buyer” status for an RRSP withdrawal. However, Ontario law provides exceptions: if the marriage later dissolves, the dissolution triggers an automatic reset, allowing a separating partner to access their RRSP Home Buyers’ Plan once again. (That goes for both partners, a divorce or a death is a legitimate reason to use the “RRSP Home Buyer’s Plan”).

 

Frequently Asked Questions

Can I buy a house while going through a divorce?

Yes, but proceed with extreme caution. Any property purchased before your divorce is legally finalized can potentially be tied into net family property calculations. To safely purchase a home during a separation, ensure your lawyer drafts a separation agreement explicitly stating the new home is excluded from matrimonial assets and that your spouse waives all future claims to it.

Can we use my credit on a mortgage application if my partner has bad credit?

Yes! If your partner has damaged credit or high personal debts, you can apply for a mortgage solo. However, qualifying solo means you can only use your personal income to support the loan; your partner’s income cannot be added to help you qualify for a larger purchase price. (But they can contribute financially to the downpayment and monthly mortgage.)

Can I buy a house while I am separated but not yet legally divorced?

Yes, but if you need a mortgage, lenders may need to see a signed separation agreement. Also, without a signed separation agreement, the new home might be pulled into the pool of matrimonial assets. If that happens, funds you invested in the new home might be subject to equalization.

Can I be the only person on the mortgage, but put both of our names on the house title?

It depends on the lender, but it is risky and lenders don’t often offer financing under those terms. Not only are you signing on for 50% of a property, but you’re requesting 100% liability for the loan. Foreclosing on a property with two on title and one on the mortgage is also more challenging for the bank.

Can I use our joint bank account for the down payment if they aren’t on the mortgage?

Yes. Lenders consider joint bank accounts for the purchase of properties.

If you are considering purchasing a property on your own and want to ensure your financial health and assets are fully protected under Ontario law, reach out to us today. Let’s build the right strategic framework for your next move.