What Does Joint Tenants Mean?

The conveyancing process can be confusing. Particularly if you are a first-time buyer. One of the most important parts of buying a home is understanding the types of property ownership available. The choices are joint tenants and tenants in common.

This guide will explain what joint tenants are. It will compare joint tenancy and tenancy in common. And it will also describe how equity works in a joint tenant agreement. 

What is a joint tenant

When you buy a property as joint tenants, it means you both own the property equally. Joint tenants have equal rights and shares in the property, and they own the whole of the property together with equal ownership. Joint tenants share the financial responsibilities of maintaining the property, such as mortgage payments and upkeep of the structure.

A joint tenant or joint tenancy is the most common form of land ownership for married couples or long term partners.

What is joint tenancy

A joint tenancy is the same as joint tenants. It’s the legal way for two or more people to own property together with equal rights and responsibilities.

If you hold a property under a joint tenancy, you can’t leave the property shares to someone else in your Will. It will automatically transfer to the other joint tenant.

Joint tenancy requires a legal document such as title deeds to establish the joint ownership. Joint tenants share responsibilities, including mortgage payments and property taxes. The HM Land Registry in England and Wales registers this type of joint ownership.

The advantages and disadvantages of joint tenants

One key feature of a joint tenancy or a joint tenant agreement is the right of survivorship. This means that if one owner dies, their share automatically goes to the remaining joint owners.

This ensures that the property remains within the joint tenancy arrangement and does not become part of their estate. Meaning their next of kin or beneficiary will not inherit their share of the property if they die. Regardless of whether they have a will. The property automatically passes to the surviving joint tenants.

This avoids the need for probate and making the transfer of equity process smoother.

However, joint tenancy also has its disadvantages. Conflicts can arise between joint tenants. This is especially true if they have different ideas about using or managing the property.

Conflicts can happen if there is a disagreement about money put into buying the property. This includes the deposit amount one tenant paid compared to the other.

Another disadvantage is the inability to designate separate shares of the property. In joint tenancy, all owners share the property. Each owner has an equal share of the whole property.

This lack of individual ownership can be a problem. It can cause issues if one owner wants to sell their share or use it as collateral for a loan.

It’s important to think about the pros and cons of joint tenancy before choosing this type of ownership. Evaluating your specific circumstances and consulting with a conveyancing solicitor can help you make an informed decision.

What is the difference between joint tenants and tenants in common?

The choice between joint tenancy and tenancy in common depends on the needs and situations of the co-owners. In contrast to joint tenants, tenancy in common allows for separate shares and inheritance rights. This could serve as a more suitable solution when an equal share in a property is unnecessary.

Understanding these key differences is important. This helps you decide which type of joint ownership is best for your situation. A conveyancing solicitor can discuss your circumstances and advise on the best solution for you.

Learn more in our guide Joint Tenants or Tenants in Common: What’s The Difference?

Severing a joint tenancy

If both owners are happy to sever the joint tenancy, all registered owners must submit an application. You can make a joint application to sever the tenancy. This requires a conveyancing solicitor jointly to formalise the process.

The other option is to transfer ownership to a tenants in common agreement.

How can a conveyancing solicitor help?

A conveyancing solicitor can help you choose the right type of property ownership for your situation. Our conveyancing team will handle all the paperwork for you.

We will help with the entire process from start to finish. This includes the exchange of contracts and completion. We will also give you a free, no obligation, conveyancing quote.

Once your matter is complete, our skilled conveyancing team will handle the final steps. This includes paying stamp duty and registering the property at the Land Registry for you. We will handle any questions the Land Registry may have after you submit your registration application.

The conveyancing team will make sure we follow all the rules. They will send you the final copy of the register. This document will have your name as the owner. It serves as proof that you own the property.

We understand that buying a property can be stressful, especially for first-time buyers. Our experienced staff will make the process smooth and easy for you. You will provide you with regular updates throughout the whole process.

Once your matter is complete, we will give you 10% off our Wills service. This means you will get 10% off the fees for making a Will with us. To receive this discount, please contact us within 1 month of your property completion.   

Request a call back below or call us on 0114 2743 481 to book your appointment today.