What will happen to our shared property if my partner passes away?

While purchasing a home with your partner can be an exciting prospect, it's important to consider the legal ramifications, especially in the case that one of you passes away. If you are not a lawyer, it is especially crucial because there is a lot of legal jargon that could make things complicated to understand.

Ex-judge and author, Stephen Gold has spoken at length on the matter. He said: If you are joint tenants, when one of you dies during ownership, their interest automatically passes to the other - which could mess things up. For example, your Will may have gifted your interest to your children. That won't count. But if you own as tenants in common, you are each free to gift your interest to a third person although you can still gift to the other. It should be apparent from the title deeds or Land Registry documentation whether you own as joint tenants or tenants in common.

He also gave the following advice:

Can joint tenancy be changed to a tenancy in common?

Yes. It frequently occurs when the owners' connection ends or to make a Will gift of the property interest to a third party.

You need a notice of severance which must be given to your co-owner and, where the property is registered at the Land Registry, you should apply to them for registration of what is called a Form A restriction. 

In certain situations, a joint tenancy will become a tenancy in common without a notice of severance. This will happen if one of the owners is made bankrupt.

Wills, Powers of Attorney, Estates & Tax Planning Lawyers Yorkshire

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