Land Registry Searches for all of the UK and Ireland

Where property is owned by 2 or more persons it can be held by them as Joint Tenants or as Tenants in Common. There are tax advantages in holding the property as Joint Tenants as each both owns 100% of the property. On the death of one, therefore, the property passes automatically to the surviving party as right of survivor. There is no gift, sale or other disposition so there are no tax consequences. This is the traditional way that married couples own property in England and Wales.

During the last few years it has become increasingly fashionable for couples to live together rather than to marry, and it is often not their wish to leave their interest in their jointly owned property to their cohabitee. Thus more and more people are converting to Tenancies in Common.

Where a couple wish to convert from a Joint Tenancy to a Tenancy in Common they must give notice to the other party of their intention. This is done by serving a Notice of Severance of Joint Tenancy on each of the Joint Tenants. It is desirable, but not essential, that a receipt is obtained for this, to provide evidence of the intention to sever. Where the property is registered at HM Land Registry an application should be made to enter a Restriction in the proprietorship section of the Property Register. This will prevent a sale of the property by one of the Tenants in Common without the consent of the other. If the property is not registered then a Memorandum should be endorsed on the last conveyance ( the conveyance to the current owners).

Once the Joint Tenancy has been severed each Tenant in Common can then mortgage or charge their share, can leave it by Will, can gift it away, etc. They do not need to hold the same percentage each, but can decide between them as to their respective percentage holdings.