| Please be aware that the law
concerning this area is complex and involves not just property laws but also probate and
estate planning. Please read the above caution and consult a lawyer. There are two main types of co-ownership by which two or more persons may hold an interest in one piece of land. These are either as joint tenants or as tenants in common. Joint-tenancy Where a joint-tenancy is created, the interests of each joint tenant in the land held are always the same in respect of possession, interest, title, and time. Each joint tenant is entitled, concurrently with the other joint tenants, to possession of the whole of the land which is the subject of the joint tenancy. The interest of a joint tenant in the property is extinguished upon death and the interest passes on survivorship that is title in the property passess automatically to the other surviving joint tenant or tenants. What this means is that every joint tenant has the right to enjoy possession and use of land and that their interests in the land are equal. When a joint tenant dies, his or her interest will pass 'automatically' to the remaining joint tenant and more importantly, his or her interest are not dealt with in the will or estate. Eventually where there is only one joint tenant left and when he or she dies, the title to the land will go into his or her estate and will be dealt with according to the will if there is one or according to the law governing intestacy i.e. where there is no will. The Transfer or the Deed of Land will usually state as to the manner in which 2 or more persons are holding title. It would usually say: DOE, John DOE, Jane as Joint Tenants. Tenants-in-Common Where a tenancy in common is created, there need be no unity of interest, and the tenants in common may take undivided shares that are unequal. A tenant in common's share in the property upon his or her death, goes into the estate and it will be dealt with according to the will or intestate laws. Therefore, for example, tenants in common can hold different shares in the property and their shares can be 60/40 or whatever proportion that they have agreed to. This is especially common where the tenants in common have not contributed equally to the purchase price and they want their shares to reflect their contribution. Here the tenant in common's share in the property will go into his or her estate and then disposed of according to the will if there is one. |
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