If you jointly own your property as tenants in common, when you die your share of the property will pass to your estate. If you have made a will, your share will be distributed in accordance with the wishes set out in your will, but if you have not made a will, your estate will be distributed in accordance with intestacy rules.
If you wish to sell the property following the death of your partner, as the property’s legal owner, you have the right to do this. You can appoint an additional trustee in place of the deceased owner to give a good receipt for purchase monies and enable the sale to proceed. This is known as overreaching.
It is worth noting that it is the remaining legal owners who have the right to conduct the sale of the property, not the beneficiaries of the deceased’s share.
If overreaching takes place, then on completion of the sale the surviving owner and additionally appointed trustee will hold the deceased’s share of the sale proceeds in a trust. These proceeds must be distributed in accordance with the deceased’s will or intestacy rules.
If the proceeds of the sale are not distributed correctly, the personal representatives or beneficiaries entitled to the deceased’s share can apply to the court under section 14 Trust of Land and Appointment of Trustees Act 1996 for an order relating to the exercise of the trustees’ functions.
If you own your home as tenants in common, it is vital that you have a will, as this is the only way to ensure your share of the property is passed to the correct person of your choosing on your death.
If you have any more questions about conveyancing and property law, please contact us today.