Ways to Hold Title on Your Home and Why

It’s the oft-not considered big thing in your transition from regular person to “The Homeowner”. Granted it’s not as thrilling or exhilarating as picking a couch that makes your eyes pop when lounging, or that amazing cutlery set your friends will be vying after when you invite them over. It’s a BIG DEAL, though. And there are a few options available to you:

Sole Ownership

• Title in the name of one person.

Tenancy in Common

• Multiple people hold the title together and are able to sell their interest in the property, or pass it on to whatever beneficiary they choose if they die.

Tenants by Entirety

• This is generally a title-holding type for married couples. In this case, creditors can’t touch the property as it’s considered both parties’ property and the debt is only owed by one of them.

In a Living Trust

• Allows you to pass assets, in this case, your property, to a beneficiary after you pass away without probate court.

These are all great options and you’ve mentioned them before, but who actually cares? Well, you should. Legally the way you hold title could have any sort of legal ramifications. These ramifications include if the property can be sold one day if debt collectors can seize the property, your estate’s management of the property after your death. If you have a change of heart and eventually want to update the way you hold title you can do so relatively simply.

You should contact an attorney to discuss which option is best for your title.