What is joint tenancy?
Joint tenancy refers to a type of property ownership where all co-owners share equal ownership rights to the property, regardless of their individual financial contributions towards purchasing it.
In the event of one owner’s death, their share in the property automatically transfers to the surviving co-owner(s), regardless of whether they had made a will.
Joint tenancy vs Tenancy-in-common – What’s the difference?
Tenancy-in-common enables you and your co-owners to have individual ownership stakes in the property in different proportions. Essentially, your home’s ownership is divided into distinct shares by mutual agreement on the percentage of ownership each person has.
Unlike joint tenancy, there is no automatic transfer of ownership to the surviving co-owner(s) if one co-owner dies. If a co-owner passes away, the remaining co-owners’ individual shares in the property stay the same.
Recommended article: Buying a property: Joint tenancy vs. tenancy-in-common
Can joint tenancy be changed to tenancy-in-common?
It is possible to switch to the other form of ownership. HDB property owners need to inform and receive assistance from HDB, while private property owners will require the assistance of a law firm.
If you and your co-owner opt to switch ownership from joint tenancy to tenancy-in-common, it can only be done if the property is split exactly down the middle, with each owner holding a 50% share. However, if achieving the equal split involves giving up a portion of your share, you may be required to pay stamp duty fees.
Similarly, it is also possible to convert tenancy-in-common to joint tenancy, but only if the shares have already been divided equally.
