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So you are saying it is unlikely a lender will loan money to one person with two people on the title?

It is possible for two people to be on a title and only have one of them on the mortgage. Generally, the person who is not on the mortgage will have to legally subordinate their claim on the property to the mortgage lender's claim on the property. That avoids the 'lending money for the whole property, when the person they are lending money to only owns 50%' issue.

Additionally, the single person on the mortgage will have to qualify for the mortgage on their own income, generally without counting on 'roommate' income from the other person. In this case, when one persona can qualify for the mortgage without needing the other person's income, it's generally easier and less complicated in the long run for that person to buy the property, and have the person not on the mortgage pay for other things in the budget. (Joel and I do this - I own the house and he pays for utilities.) If the two people eventually get married, then both will benefit from any gain in the property. If they break up, it's a lot less complex to do so.

I do agree with Phil that especially with all of the complexities you are proposing for this process, it is REALLY IMPORTANT to have the financing in place before shopping for a property. Even in normal circumstances, it's important to have financing in place first, but in this case, it is imperative.

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