ABA Family Legal Guide

Estate Planning

Other Estate-Planning Assets and Tools

What's the difference between joint tenancy and tenancy in common?

In joint tenancy, you and your spouse, or other co-owner, own all of the property—for example, a home. Joint tenancy means, among other things, that each owner must agree on such issues as whether to sell the home.

In tenancy in common, on the other hand, each owner owns a share of the property. In some states, a tenant in common may sell his or her share of the property without the consent of the other owners. Keep in mind, however, that few buyers are interested in purchasing what amounts to part of a home. In tenancy in common, different partners can own unequal shares of the property.

If you own an asset in joint tenancy with anyone and you die, ownership of that asset passes to the other joint tenant automatically. In a tenancy in common, your share passes as provided in your will or trust, with possible consequences of probate, estate taxes, and so on.