When two or more people own a property together, it can be a little confusing to figure out the logistics. Questions often arise about many things, including who is responsible for what, and how decisions are made. Some of the top questions you’re likely to hear about joint ownership are answered below.
There are a few different ways to share ownership of a property, depending on your situation. If you’re married or in a civil partnership, you’ll usually be joint tenants with your partner. This means that you own the property together and have an equal share in it.
If you’re not married or in a civil partnership, you can either be joint tenants or tenants in common with the other owner (or owners). If you’re joint tenants, this means that you own the property together and have an equal share in it. If you’re tenants in common, this means that you each own a specific share of the property.
For example, if you own a property as tenants in common with someone else, you might own a 60% share while they own 40%. This means that if the property is sold, you would each get 60% and 40% of the sale price, respectively.
If you’re buying a property with someone else, it’s important to decide whether you want to be joint tenants or tenants in common. You can always change your mind later, but it’s much simpler to make this decision up front.
Who is responsible for repairs and maintenance?
As a general rule, each owner is responsible for their own share of the repairs and maintenance. So, if you own a 60% share of a property, you would be responsible for 60% of the repairs and maintenance costs.
Of course, there are always exceptions to this rule. For example, if one owner is living on the property and the other is not, the owner who is living on the property may be responsible for a larger share of the repairs and maintenance. It’s important to discuss this upfront so that there are no surprises down the road.
How are decisions made about the property?
Decisions about the property are typically made by consensus. This means that all owners need to agree on any changes or repairs that are made to the property. If there is disagreement, then a vote may be necessary to reach a decision.
It’s important to remember that each owner has an equal say in decisions about the property, regardless of their share size. So, even if you own a 60% share of the property, you would still only have one vote.
Making decisions by consensus can sometimes be challenging in a shared ownership arrangement, but it’s important to remember that everyone needs to be on board before any changes are made.
What happens if one owner wants to sell the property?
If one owner wants to sell the property, they will need the consent of the other owners before doing so. This is typically done by consensus, but if there is disagreement, then a vote may be necessary.
Once again, it’s important to remember that each owner has an equal say in decisions about the property, regardless of their share size. So, even if you own a 60% share of the property, the other owner would still need to agree to any sale.
What happens if one owner dies?
If one owner dies, their share of the property will typically go to their spouse or partner (if they have one). If they don’t have a spouse or partner, their share will go to their children (if they have any). If they don’t have any children, their share will go to their parents (if they are alive).
This process is called “succession” and it’s important to remember that it can be different in each situation. It’s always best to consult with a lawyer or other legal professional to ensure that everything is handled correctly.
Joint ownership of a property can be a great way to share the burden of ownership, but it’s important to understand the details before getting started. These are just a few of the most commonly asked questions about joint ownership, but there are many others that you may need to consider as well.