Joint tenants v tenants in common

In Queensland individuals may own property with another individual/s as either joint tenants or tenants in common.

If you’re purchasing property with another person it is important to consider how you want to share ownership:

Joint tenants:

• Equal ownership: joint tenants own equal shares of the property i.e. they each own 100% of the property, jointly.
• Right of survivorship: if one owner dies, their share automatically transfers to the surviving joint tenant/s.
• Cannot bequeath share under a Will: a joint tenant cannot bequeath their share of the property to someone else.
• Common for couples: joint tenants is often chosen by spouses or partners to ensure seamless transfer of ownership upon death.

Tenants in common:

• Unequal ownership: tenants in common can own different shares of the property (e.g. one owner owns 40% and the other 60%) or they may each own 50% of the property individually.
• No right of survivorship: each tenant’s share can be bequeathed under a Will to whomever they choose (it does not automatically transfer to the surviving tenant/s upon death.
• Flexibility: allows owners to leave their share of the property to beneficiaries in their Will.
• Common for investors and those not in a spouse relationship: joint tenants is often preferred by property investors or co-owners with different financial contributions or interests.

Should you require assistance with your contract or have any questions regarding owing your property as either joint tenants or tenants in common, please do not hesitate to contact our friendly team on 1300 765 488.