Joint Ownership

If you are buying a property jointly you will need to decide how you wish to hold the property.

Joint tenants – many married couples choose to own their property as joint tenants, which means they both own the whole of the property. There are no shares, and if one party should pass away the property would automatically become the sole property of the survivor.

Some joint owners choose not to own the property in this way, as there may be tax benefits in holding the property as tenants in common. Joint tenancies can be changed at a later date by one party giving ‘notice’ to the other party. If this was to occur a tenancy in common would be created, giving each party an equal share.

Tenants in Common – this means that both parties own a notional share of the property. If one party should pass away then that person’s share in the property would pass according to their will (or if they have no Will, the intestacy rules).

You do not hcve to own the property in equal shares – you can specify the shares you own and how the proceeds of sale should be distributed. If this is the option you choose you should speak to one of our lawyers about a declaration of trust to document your intentions.

If you require any further information please feel free to contact us.