Question

What are the advantages or disadvantages of 2 business partners holding title to land as “joint tenants” or as “tenants in common” (i.e., compare the effect of both scenarios)?
Assuming you and your partner hold title to the property as “tenants in common”, what is a practical or creative measure that you could put in place so that, upon the passing of your co-owner, you have access to funds to purchase that person’s interest in the property?
If a mortgagee (i.e. a lender or a bank) holds mortgage security against title to the property, what arrangements would have to be made with the mortgagee?

Answer 1

Answer:

Joint tenancy aslo differs from tenancy in common because when one joint tenant dies, the other remaining join tenants inherit the deceased tenant's interest in the property. However, a joint tenancy allow owners to sell their interest. If one owner sells, the tenancy is converted to tenancy in common.

Advantage: Splitting your share of a house with other people may allow you to live in a dwelling ad neighbourhood you couldn't otherwiese offord. Unlike joint tenancy, tenants in common can add owners over time, rather than all owners receiving title to the property at the same time.It can help protect you from paying long term care home fees.

Diadvantage:The big disadvantage of tenancy in common is that there is little control over inheritance. Without any rght of survivial each owner needs to stipulate who the heir(s) will be of their interest portion in the property