Clarification on names & % share on O&A

[bigfella966]

We are currently purchasing a property along with my folks, the O & A was written up as follows:

(name1) and nominee (name2) as joint tenants and tenants in common with 50% share and further nominee's (name3) and (name4) as joint tenants and tenants in common with 50% share

My question is, if say (name1) dies and leaves (name2) all their possessions,(obviously including their share of the property) in their will, does that then become (name2) = 50%, and (name3 & 4) = 50% or is the property shares equally divided between the 3 remaining parties on the title? as has now been suggested to me by an associate of mine.

BF

[Sultan of Swing]

Hi Bigfella

If it's tenants in common, the share should be 50% to the partner left and 50% to the other 2 as per the title.

I wasn't aware that you could have it as joint tenants AND tenants in common, I thought you'd have to have 4 parties at whatever percentages you wanted, in this case 25% each. Obviously your solicitor can advise you better and I suppose there's no reason you can't.

A couple of years ago we bought some property in a syndicate of 4 couples and each couple had 25% between them. My wife was on the title with 24% and me with 1% as I was working and she wasn't. This proved highly tax effective for us when we sold.

Cheers

[chook]

I agree with Sultan of Swing - they are two separate 50% parcels. Name one will end up with 50% and the remaining two parties will retain their own 50% share. This is because with joint tenancy, on the death of one party, the title automatically goes to the surviving party.

[bigfella966]

SOS & Chook,

Thankyou for the reply's, I thought that was the case, that's why we had it as 2x 50% shares (1 for each couple), but when a work collegue was adamant that is would have to be shared equally between the remaining parties on the title, it started to raise some doubt in my mine.

Thanks again,

BF

[asdf]

Joint tenancy can only exist in equal shares so even if there was 3, its 1/3 share each and if one party passes, his/her 1/3 goes to the others to become 1/2 each. But you can carve up tenants in common in any proportion you like.