When two or more people buy a property together, they have to decide how to own it – as "joint tenants" or as "tenants in common". It is easy to treat this as a box-ticking formality on the purchase paperwork, but the choice has real and lasting consequences, particularly on death or if relationships or circumstances change. As a consequence, it is well worth understanding before you buy.

What is the difference?

Although both options mean you co-own the property, the difference lies in how that ownership works under the roof.

As joint tenants, you own the whole of the property together, without distinct shares. The defining feature here is the "right of survivorship": if one owner dies, their interest passes automatically to the surviving owner (or owners), regardless of what the deceased's will says. The property simply stays with those who are left behind. This is why so many married couples and civil partners choose this particular arrangement, as it is simple and means the home passes to the survivor without angst.

As tenants in common, however, each owner holds a distinct share in the property. Those shares can be equal, or unequal – say 70% and 30% – to reflect what each individual contributed. Crucially, there is no survivorship, and each owner can bequeath their share to whomever they wish in their will. If one co-tenant dies, their share passes under their estate and is not automatically transferred to the co-owner.

Which should you choose?

This will depend on your circumstances. A joint tenancy suits couples who regard the home as entirely shared and want the survivor to inherit it automatically. This option is clean and straightforward, and avoids the property being tied up in the estate on the first death.

Owning as tenants in common tends to be the better fit in several common situations, for instance, where the owners have contributed unequally and want to protect their respective shares; where there are children from an earlier relationship (and each owner wants to leave their share to their own family rather than to the survivor); and where friends, relatives or business partners are buying together. This is also the usual choice for anyone who wants their share to pass under their will or to form part of their wider estate planning. Where ownership is as tenants in common, it is sensible to record the shares (and also what happens if the property is sold or one owner wants to leave) in a "declaration of trust". This may avoid later arguments.

There is an important caveat: under a ‘tenancy in common’, owners may independently transfer or leave their share in a will. However, if a mortgage is involved, all owners remain jointly liable to the lender. UK mortgage lenders seldom issue a mortgage on a partial share of a residential property. If there is an outstanding mortgage, all owners are jointly liable. Thus, any subsequent selling or refinancing usually still requires cooperation if a bank is involved.

Getting it right, and changing your mind

The choice should be recorded properly when you buy, in the transfer document and at the Land Registry (Form A Restriction). For tenants in common, a specific entry (known as a restriction) is placed on the title to flag that the survivorship rule does not apply. A good conveyancer will ask which arrangement you want and ensure that the paperwork reflects it. However, it is worth raising the point yourself rather than assuming that it will come up as a matter of course.

Nothing is set in stone. A joint tenancy can be converted into a tenancy in common at a later date by a process known as "severance", and vice versa. This is relatively straightforward and is usually done by serving a written Notice of Severance to the other owner and registering a Form SEV with the Land Registry. However, this 'Notice of Severance' must also be formally registered with the Land Registry using a Form SEV to update the title deeds. Separating couples often do this so that each can deal with their own share independently, and it is also a common step in later-life estate planning. Co-owners can also enter into a declaration of trust at any time to set out their respective share allocations.

One point, however, deserves emphasis – how you own the property works hand-in-hand with your will. Under a joint tenancy, survivorship overrides whatever your will says about the property, so the two must align, as there is no point leaving your share of the house to someone in your will if, as a joint tenant, that share passes on automatically to your co-owner. If your intentions change, both the ownership and the will may need to be revisited concurrently.

In summary, the most suitable options are:

Joint Tenants:

• No Individual Shares: You own the entire property together as a single collective owner, without distinct or split percentages.
• Automatic Inheritance: If one owner dies, their share passes automatically to the surviving owner(s), regardless of what is written in their will (known as the Right of Survivorship).
• Will Alignment: You cannot leave your share of the property to someone else in a will, as the automatic survival rule overrides it.
• Best For: Married couples, civil partners, or anyone who regards the home as fully shared and wants the partner to inherit it seamlessly.

Tenants in Common

• Distinct Percentages: Each person owns a specific, separate share of the property, which can be equal (50/50) or unequal (e.g., 70/30).
• No Automatic Passing: If an owner dies, their share does not automatically go to the other co-owner.
• Protected by Wills: You can pass your specific share to anyone you choose (such as family or children from a past relationship) by naming them in your will.
• Legal Protections: A specific Form A Restriction is placed on the Land Registry title, and a separate "Declaration of Trust" is usually drawn up to legally record who owns what percentage.
• Best For: Friends, relatives, business partners, or couples who contributed unequal amounts to the deposit.

Although this seems a modest decision at the point of purchase, it has significant long-term consequences for who ends up owning the property. A short conversation with your conveyancer to make sure that the arrangement matches your intentions is time well spent.

Disclaimer: This simplified summary is for general information and guidance only. It is not intended as formal legal advice, may omit important detail, and may not reflect later developments or case judgements. Please seek professional legal advice before acting.