When two people purchase a property

There are two ways of holding the property that you own and that is as joint tenants or tenants in common.

Most husbands and wives and civil partners hold their property as joint tenants which means that the property will automatically vest in the survivor should the other spouse die, it cannot be left to a third party (example, your children) by Will.

The other way property can be held is as tenants in common. This means that you each hold a specified percentage of the property (e.g. fifty percent each or an uneven amount such as seventy percent – thirty percent). If you are holding property as tenants in common it is advisable to have your percentages recorded in a Trust Deed. If the property is held as tenants in common you can leave your share of the property by Will to a third party. Tenants in common is more commonly used when a property is purchased by two friends, although it may also be used for husband and wife or civil partners especially where there are children from a previous marriage or relationship or anyone else that they might like to leave their part of the property to by Will on their death.

If you are purchasing property and wish to hold the property as tenants in common you are advised to enter into a Trust Deed.

If you would like this firm to prepare a Trust Deed for you, do not hesitate to telephone +44 (0)208 539 0075 for a free quotation.