Property Ownership
Joint Tenants or Tenants in Common
Most couples who jointly own their home believe they own the property on a 50/50 basis and they normally want to leave their half to their partner in their Will. In fact, it is most likely that the property will be owned as 'Joint Tenants', which effectively means each partner owns 100%. This means that if one partner dies the survivor automatically becomes the sole owner, so in this way you have no choice to whom you leave your share in your Will as your partner will automatically inherit the property.
It is possible, however, to own a specified percentage of the property and this is ownership as 'Tenants in Common' This is typically on a 50/50 basis but does not have to be this way.
Each 'Tenant in Common' is entitled to leave their share of the property to whomever they wish in their Will.
WHY IS THIS IMPORTANT?
If you wanted to protect your share of the property after your death, from being lost to your partner''s new spouse or swallowed up in expensive care fees, you can leave your half of the property directly to your children, but you would have to be a 'Tenant in Common' to do this.
In order to simply avoid leaving a large inheritance tax bill for your children to pay after you both die, you may want to transfer half of the property into a Discretionary Trust on the first death, but you would have to be 'Tenants in Common' to do this.
MAKING THE CHANGE IS EASY
Making the changes to your property deeds from Joint Tenancy to Tenants in Common is a straightforward and routine procedure is a service that we provide and we do not need your property deeds to do this. Changing the way you own your property does not affect a mortgage or your ability to sell the property.
In fact you have all the same rights as a Joint Tenant but with a lot more choice.
If you are sharing a property with a spouse or partner and only one of you has the property in their sole name, this can be easily transferred into the names of you both as Tenants in Common. This is a more in depth procedure and your property deeds will be required to make this change but we are happy to help you with this.
