Transfer Sole Tenancy to Tenancy in Common
According to recent studies, more than half of the adults living in the United Kingdom have not yet written a will (1). This is problematic for several reasons. First, the lack of a will can cause a great deal of confusion in regards to personal assets, estates, inheritance tax and possible custody of any minors. Not only could this place a great deal of emotional stress upon the recently bereaved, but the fact of the matter is that disputes and legal battles may also come into play. One area which is often overlooked involves the concept of transferring a sole tenancy to what is known as a tenancy in common. Let us look at why this is important and some of the reasons that this concern needs to be addressed sooner as opposed to later.
The Issue With a Sole Tenancy
According to recent studies, more than half of the adults living in the United Kingdom have not yet written a will (1). This is problematic for several reasons. First, the lack of a will can cause a great deal of confusion in regards to personal assets, estates, inheritance tax and possible custody of any minors. Not only could this place a great deal of emotional stress upon the recently bereaved, but the fact of the matter is that disputes and legal battles may also come into play. One area which is often overlooked involves the concept of transferring a sole tenancy to what is known as a tenancy in common. Let us look at why this is important and some of the reasons that this concern needs to be addressed sooner as opposed to later.
Transferring Sole Tenancy to Tenancy in Common
Another point should be mentioned here. Let us assume for a moment that a husband and a wife are tenants in common. Should the husband die and leave his share of the property to someone other than his wife, the home may have to be sold in order to give this third beneficiary the cash value that was promised within the will. One option here is to have a specific clause known as “giving a life interest” written into the will. This allows the other half to continue to live in the home until his or her death.
Tenancy in common is an excellent way to avoid future disputes upon the death of a property owner. We are pleased to provide an expert that will help you construct your will while addressing such important tenancy issues.
