Susie
09-26-2006, 08:18 PM
Hi
this info came from
http://www.floridabar.org/tfb/TFBConsum.nsf/48e76203493b82ad852567090070c9b9/ad83f16f6f1b3a3085256b2f006c5ea5?OpenDocument
WHAT IS A JOINT TENANCY?
Joint tenancy is the way that two or more people can hold an interest in the same property at the same time. The two most common are “joint tenancies with right of survivorship” and “estates by the entireties.” Specific language used in the document that describes how the property is owned creates these and other forms of joint tenancies. Some common types of ownership documents are deeds and titles. “Joint tenancies with right of survivorship” and “estates by the entireties” have the common effect of sole ownership of the jointly owned property going to the joint owner automatically when the other co-owner(s) die.
Almost any kind of property can be held in joint tenancy: personal property such as furniture, boats, cars and jewelry; real property such as homes, apartment buildings or land; even bank accounts and safe deposit boxes.
Creating a joint tenancy is not always simple and it is something that should not be attempted without the assistance and advice of a lawyer. The exact procedures differ with the type of joint tenancy being created and the type of property involved. The proper key words must be used to ensure that you have created the form of ownership you want and not some other form of ownership.
In an estate by the entireties, the co-owners are husband and wife. This type of joint tenancy is created just about every time that a husband and wife jointly own a piece of property and their marital status is indicated in some fashion on the ownership document. The effect of the death of one of the spouses in an estate by the entireties is that the spouse that survives becomes the sole owner of the property.
Another form of joint tenancy is joint tenancy with right of survivorship. A right of survivorship means that if one of the joint tenants dies, his or her share goes automatically to the other joint tenants who survive. As mentioned above, the ownership document must contain the correct language to indicate that the joint ownership is one that has a survivorship right for the co-owner. Carefully review your financial accounts, deeds, titles and other documents with your attorney to determine the effects of the type of ownership you have.
Another effect of survivorship and estates by the entireties is that this property does not have to go through probate. Probate is the legal process for changing ownership of property from someone who has died to his or her survivors. Because the property held in survivorship or estates by the entireties automatically goes to the surviving joint owner, probate is not necessary. Because probate can be an additional expense and delay of property being distributed to the proper heirs, many people become interested in changing the ownership of their property to joint tenancy with right of survivorship or an estate by the entireties. Some people also have the misconception that owning property in these types of joint ownership is a way to avoid paying taxes.
Joint tenancies do not save taxes. Even when property is held in joint tenancy, estate taxes must be determined and Federal and State estate taxes must still be paid when the property passes due to death. Joint tenancies may even increase taxes. When they are created, joint tenancies can create a taxable gift when they are created. It is also important to remember that despite making the ownership of the property pass much easier, there are still some documents that must be completed to pass title to the joint property must still be transferred into the name of the survivors. For example, in an estate by the entireties, an affidavit of continuous marriage must be completed and filed with a death certificate of the deceased spouse to record sole ownership of the surviving spouse in the jointly held property. Another disadvantage of creating a joint tenancy is that the original owner loses control of the property. For example, if you add your spouse to property you held solely in your name, the property can then be considered marital property subject to division in a dissolution of marriage proceeding. If you add a joint tenant, you then may not be able to sell or otherwise dispose of the property before your death without the consent of the joint owner.
Joint tenancies may involve other disadvantages. Each case is different. Before you make any decisions that affect the ownership of your property, talk to a lawyer about the effects your changing the ownership of your property will have on you and your heirs. A lawyer then can assist you in drafting, executing and recording the correct documents to achieve your intentions.
If you believe you need legal advice, call your attorney. If you do not have an attorney, call the Florida Bar Lawyer Referral Service at 1-800-342-8011, or the local lawyer referral service or legal aid office listed in the yellow pages of your telephone book.
this info came from
http://www.floridabar.org/tfb/TFBConsum.nsf/48e76203493b82ad852567090070c9b9/ad83f16f6f1b3a3085256b2f006c5ea5?OpenDocument
WHAT IS A JOINT TENANCY?
Joint tenancy is the way that two or more people can hold an interest in the same property at the same time. The two most common are “joint tenancies with right of survivorship” and “estates by the entireties.” Specific language used in the document that describes how the property is owned creates these and other forms of joint tenancies. Some common types of ownership documents are deeds and titles. “Joint tenancies with right of survivorship” and “estates by the entireties” have the common effect of sole ownership of the jointly owned property going to the joint owner automatically when the other co-owner(s) die.
Almost any kind of property can be held in joint tenancy: personal property such as furniture, boats, cars and jewelry; real property such as homes, apartment buildings or land; even bank accounts and safe deposit boxes.
Creating a joint tenancy is not always simple and it is something that should not be attempted without the assistance and advice of a lawyer. The exact procedures differ with the type of joint tenancy being created and the type of property involved. The proper key words must be used to ensure that you have created the form of ownership you want and not some other form of ownership.
In an estate by the entireties, the co-owners are husband and wife. This type of joint tenancy is created just about every time that a husband and wife jointly own a piece of property and their marital status is indicated in some fashion on the ownership document. The effect of the death of one of the spouses in an estate by the entireties is that the spouse that survives becomes the sole owner of the property.
Another form of joint tenancy is joint tenancy with right of survivorship. A right of survivorship means that if one of the joint tenants dies, his or her share goes automatically to the other joint tenants who survive. As mentioned above, the ownership document must contain the correct language to indicate that the joint ownership is one that has a survivorship right for the co-owner. Carefully review your financial accounts, deeds, titles and other documents with your attorney to determine the effects of the type of ownership you have.
Another effect of survivorship and estates by the entireties is that this property does not have to go through probate. Probate is the legal process for changing ownership of property from someone who has died to his or her survivors. Because the property held in survivorship or estates by the entireties automatically goes to the surviving joint owner, probate is not necessary. Because probate can be an additional expense and delay of property being distributed to the proper heirs, many people become interested in changing the ownership of their property to joint tenancy with right of survivorship or an estate by the entireties. Some people also have the misconception that owning property in these types of joint ownership is a way to avoid paying taxes.
Joint tenancies do not save taxes. Even when property is held in joint tenancy, estate taxes must be determined and Federal and State estate taxes must still be paid when the property passes due to death. Joint tenancies may even increase taxes. When they are created, joint tenancies can create a taxable gift when they are created. It is also important to remember that despite making the ownership of the property pass much easier, there are still some documents that must be completed to pass title to the joint property must still be transferred into the name of the survivors. For example, in an estate by the entireties, an affidavit of continuous marriage must be completed and filed with a death certificate of the deceased spouse to record sole ownership of the surviving spouse in the jointly held property. Another disadvantage of creating a joint tenancy is that the original owner loses control of the property. For example, if you add your spouse to property you held solely in your name, the property can then be considered marital property subject to division in a dissolution of marriage proceeding. If you add a joint tenant, you then may not be able to sell or otherwise dispose of the property before your death without the consent of the joint owner.
Joint tenancies may involve other disadvantages. Each case is different. Before you make any decisions that affect the ownership of your property, talk to a lawyer about the effects your changing the ownership of your property will have on you and your heirs. A lawyer then can assist you in drafting, executing and recording the correct documents to achieve your intentions.
If you believe you need legal advice, call your attorney. If you do not have an attorney, call the Florida Bar Lawyer Referral Service at 1-800-342-8011, or the local lawyer referral service or legal aid office listed in the yellow pages of your telephone book.