Do you know there are different ways to hold title to your home?

1) Joint Tenancy - In many cases, married couples hold title as joint tenants. Joint tenancy has rights of survivorship, meaning that if one of the joint tenants dies, the remaining rights automatically go to the surviving person(s).  A will is not required to transfer this remaining title to the surviving person(s).  Each person has full right of ownership and can sell their share without the consent of the others, which would then create tenants in common.

2) Tenants in Common - Tenants in Common allows for multiple people to hold title in unequal shares, with each having the right to sell their share, or will their share as they want.  So four buyers could own a property; with one buyer owning 50% and one owning 30% and the other two owning 10% each.  Each would be able to sell or will their own shares as they want.

3) Sole Ownership - When buying property alone as an unmarried person, many people take title as a sole owner. This is called title in severalty.

4) Living Trust - A Living Trust is like having another “entity” own and control your assets, including your home.  But that “entity” belongs to you, or others designated as trustees, who own the entity. While the creator of the Living Trust lives, the Trust is revocable (can be changed) during his or her life. Upon the death of the creator of the Living Trust, it becomes irrevocable (cannot be changed), and probate costs delays are avoided because the assets in the Trust automatically pass according to the dictates of the Trust. Privacy is a major attraction in setting up a Living Trust. A trust document does not become public upon the death of the trust-holder like a Will does.

More helpful tips from your Home town mortgage company.  Call us at 757-552-7000 or 1-800-882-0066.