Explain what do you mean by Shared Ownership

Question

Explain what do you mean by Shared Ownership?

Answer 1

Shared Ownership can be held by more than one person as either joint tenants or tenants in common. The differences are explained below.

1. Joint tenancy or joint ownership – Two or more people have an equal undivided interest in the property with the right of survivorship. This means that a joint tenant has no ability to bequeath his ownership interest at death as the surviving joint tenant automatically becomes the sole owner. Most married couples hold title as joint tenants. A joint tenant can avoid the right of survivorship by severing the joint tenancy by acting in a way inconsistent with joint ownership, i.e., selling his interest to a third party without notice to the other joint tenant or by partition, where there is a division of either the property or its sale proceeds. The joint tenancy is also severed if one of the parties becomes bankrupt or murders the other.

2. Tenancy in common or co-ownership – Two or more people have undivided interests equally or as specified by percentages on the deed. When one owner dies, her interests pass to her estate and are bequeathed in accordance with the terms of her Will or, if there is no Will, in accordance with the provisions of the Succession Law Reform Act.