Joint tenancy is one option you have when titling your home. By choosing joint tenancy, two or more names are on the title, meaning that they all own the property.
Joint Tenancy is commonly used among spouses who want both of their names to be on the title. The main advantage of joint tenancy for spouses is its simplicity. If one spouse dies, the ownership of the property automatically passes to the surviving spouse. The spouse does not need to engage in court proceedings or obtain approval from a judge. He or she need only show a death certificate in order to obtain sole ownership of the property.
However, there are disadvantages to joint tenancy. It is especially dangerous when one or more of the parties involved has significant debt, as creditors may force that owner to sell the whole property in order to pay for the debt. Additionally, joint tenancy supersedes the deceased tenants will, meaning it could disinherit children or others, regardless of the wishes of the former tenant. Any party in a joint tenancy can also change their interest in the property to tenancy-in-common, and then transfer or sell this interest as they wish.
These disadvantages are the main reason why joint tenancy is more popular among married couples, as trust can be a big issue in this type of tenancy. American Home Title Group can advise you as to the best way to title your home and give you the peace of mind that comes with knowing your property is titled correctly.
American Home Title Group has been helping Marylanders with their title needs for over 25 years. In the ever-volatile real estate industry, a company’s longevity can be attributed to the quality of its work. With more than 120 years of experience in real estate and titles, American Home Title Group is ready to provide you with the best experience possible in every capacity.
American Home Title Group is ready to assist you today with a variety of real estate needs you may have. Contact us now to get started. Our phone number is 410-750-8500. To reach us via email, please send a message to info@americanhometitlegroup.com. Follow our blog and keep up with us on Google+, Facebook, and Twitter.
Source
http://www.ethicalestateplanning.com/advantages-and-disadvantages-of-joint-tenancy/
