Co-ownership
31. What are the laws regarding co-ownership and how do they impact on taxes, succession and estate administration?
Two types of joint ownership exist in England and Wales.
Joint tenants
Joint tenants are two or more individuals who each own an indivisible share in a property (that is, they each own the whole rather than an identifiable share of the property).
The rule of survivorship applies so that on the death of a joint tenant his interest in the property automatically passes to the other joint tenants, regardless of the terms of his will or the laws of intestacy.
For IHT purposes, a deceased joint tenant's share of the property forms part of his estate even though its destination is not governed by his will or intestacy.
Tenants in common
Tenants in common are two or more individuals who each own a separate and fixed share in a property.
On the death of a tenant in common his share of the property passes according to his will or the laws of intestacy.