10 Perils of Joint Tenancy

September 14, 2009

Joint tenancy is a form of co-ownership. An advantage is that when one co-owners dies, the surviving co-owner instant has access to the jointly held property, eliminating the need for probate. However, joint tenancy can have its perils.

  1. Control Issues: By providing someone with co-ownership, you give them control of your asset. If you add another person as co-owner of your home, you cannot sell or mortgage the home unless that person agrees.
  2. Creditor Issues: If creditors seek out your co-owner for outstanding debt owed, the creditors may be able to obtain part of your home or bank account that is held in joint tenancy.
  3. Relationship Issues: If you and your co-owner experience a falling out, the co-owner may be able to take all of the money out of the bank account.

You may read more at the link below.

by: Todd C. Ratner

BusinessWest
August 31, 2009

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