When purchasing a property with another person or others you must consider what kind of co-ownership arrangement you will have. The choice is between acquiring the property as joint tenants or tenants in common, each leading to different consequences.
Joint tenants – The owners will hold 100% of the property together. Should one of the owners die then that owner’s share will automatically go to the surviving owner (irrespective of what the deceased’s owner’s Will says). Both owners own the property equally and neither has a divisible share. Married and de facto couples are the ones who usually enter into such an arrangement.
Tenants in common – Each owner holds a certain share of the property, independent of one another and can deal with their share in whatever way they like such as leaving it to a beneficiary in accordance with their Will. Also, the property can be held in equal or unequal shares to reflect the contribution by each party. Anyone can enter into such an arrangement including family members, friends or a group of investors.
Before making a decision on the form of co-ownership, legal advice should be sought to ensure that you end up with what is appropriate in your particular circumstances.
September 2025