Is there any advantage in buying a property as 'joint tenants' over buying it as 'tenants in common'

Question

I know there are several advantages of tenants in common, but cannot see any advantage in joint tenants. Are there any?

Answer 1

Joint tenants mean that you both equally own the whole property and that when one of you passes away, the property goes to the other person automatically. i.e right of survivorship and so you cant pass your share to anyone else. There are other differences but this is the most important one.

Answer 2

Joint Tenancy gives an automatic right of survivorship. That is, if one of you dies, the other receives the deceased's interest in the property. If there are multiple survivors, they each get an equal share of deceased's interest. It goes on like that until there is one survivor. That survivor has the property outright. This is a probate avoidance device. If you are married, most states create a special kind of joint tenancy called a tenancy by the entirety when you by a piece of property with your spouse. It gets dissolved on divorce.

A Tenancy in Common, on the other hand, gives each owner an equal share in the property that does not disappear when an owner dies. That is, the owner may leave his interest in the property to somebody in his will or by intestacy.

With both interests, each owner has an equal right to possession and enjoyment of the property. Also, both interests are freely alienable (they can be bought and sold). If someone with a joint tenancy sells out, then the person taking the interest will be a tenant in common with the remaining joint tenants.

Answer 3

In joint tenants each has the right of surviorship, in other words, if one of you dies, the other get's the property. Tenants in common own a portion of the property with no right of surviorship. Married or now, always choose "joint tenants".

Answer 4

As joint tenants you have rights of survivorship. If your partner dies, you would obtain the rest of the property without concern for probate.

Steve Larson

http://www.slarson.com

Answer 5

1) Joint Tenancy: property owned by two or more people at the same time in equal shares; typically referred to as the four unities (unity of time, title, interest and possession vesting in each joint tenant). Each joint tenant has an undivided right to possess the whole property and a proportionate right of equal ownership interest. When one joint tenant dies, his/her interest automatically vests in the surviving joint tenant(s) by operation of law. Words in the deed such as "John and Mary, as joint tenants with right of survivorship and not as tenants in common" establishes title in joint tenancy. Not all the states allow this form of property ownership.

2) Tenants in Common: property owned by two or more persons at the same time. The proportionate interests and right to possess and enjoy the property between the tenants in common do not have to be equal. Upon death, the decedent' s interest passes to his/her heirs named in the will who then become new tenants in common with the surviving tenants in common. Words in the deed such as "Peter, Paul, John and Mary as tenants in common" establishes tenancy in common.

Joint tenancy ownership of property is convenient and easy to set up, and avoids probate and the difficulties of passing title of property when a joint tenant dies. All that is needed is the entering of an "assent" in the Land Registry. Typically joint tenants are married couples and no inheritance tax is payable in respect of the transfer of ownership on the first death. However, there can be heavy tax consequences on the second death, consequences which could have been avoided had the spouses elected to be tenants in common, in which case each could have left a share to surviving children, thus relieving the tax burden.

Advantages of joint tenants? Raising a mortgage, which is easier for joint tenants, I believe, than for tenants in common. Stability, so that one doesn't have to fret over the consequences of the other leaving his/her share of the property elsewhere -- for example, to children of a first marriage whom you don't get on with, who might be reluctant to share in paying maintenance costs, or of raising money on his share of the property by means of a charge on his/her share of the property. The convenience of the surviving spouse not having to worry about paying inheritance tax. But certainly, the advantages of a tenancy in common are substantial.

Answer 6

advantages are that if certainly one of you're able to die, then the different is immediately the excellent proprietor of the valuables a hundred% somewhat than final a proportional proprietor. the disadvantage as far as i'm conscious is which you're the two the two in threat of pay the excellent whack for the own loan so if one defaults, the different could conceal the dazzling volume. If one leaves the homestead, then the different is immediately in charge for the excellent own loan charge, no questions.

Answer 7

It depends on whether you want rights of survivorship or would like to be able to sell or give away your share. Check with a lawyer (realtors know but I would want legal expertise) because they have experience in which one works best for whom.

Answer 8

Depends on what you mean by 'advantages', it's all relative. The main differences have to do with what happens if any of the people involved eg. die, and both types of tenancy have their pros and cons depending on what you want to happen to the property. You shouldn't really rely on advice you get on websites like this (incl. mine!), especially with land/property law being one of the most complex areas of law.

Answer 9

The answer would be within what an attorney would tell you are the consequences to the families in the event of death of one of the parties in either type of deed and how that would affect their estate, family situations and tax ramifications.