Holding Title in Florida – The Most Common Ways

Holding Title in Florida – The Most Common Ways

When purchasing real estate, most buyers never consider the different types of title ownership available, and sometimes people rush into choosing one option without really knowing why or what the disadvantages of that option are.

Choosing a Way to Hold Title in Florida

Choosing a title ownership option without proper knowledge of what the available options are and which option offers the higher number of benefits for your specific circumstances can be something you regret in the future.

Before irrevocably committing to one title ownership option, you must fully understand the most common ways to hold title in Florida. Read on to learn more.

Two or More Owners

A Tenancy in Common is an option that allows at least two individuals to hold title to the same property, which may be an ideal option for people who are not married but want to buy a home together. Another example of title ownership in the form of a tenancy in common could be two real estate investors making a purchase together. In a tenancy in common, each tenant holds title to a specific percentage of the property, which is specified in the deed, and it does not have to be an equal share.

The main benefit of this type of title ownership is that it allows tenants to sell, lease, or otherwise transfer their percentage of the property to another individual.

Two or More Owners, an Equal Share

Similar to a tenancy in common, a Joint Tenancy is an option that allows two or more people to hold title to the same property. However, in a joint tenancy, all owners share equal percentages of the property, and the agreement they sign must identify them as “joint tenants with the right of survivorship”.  This essentially means that if one owner passes away, his or her portion of the property will be transferred to the remaining owners. When an owner dies and his or her part of the property is transferred to the others, the decedent’s will does not affect the joint tenancy agreement.

One of the best benefits of holding title in a joint tenancy is that the costly and time-consuming Florida probate process can be avoided when one joint tenant passes away.

Holding Title as a Married Couple

In Florida, married couples can own a title in the form of a Tenancy by the Entirety, where each spouse is the owner of the entire property. This title ownership option provides a few core benefits, which are:

• Protection for spouses – In a tenancy by the entirety, both parties must sign the deed in order to transfer the property, which protects the rights of each of the spouses to make decisions in regards to the property. In other words, nothing will happen to their property without both spouses’ consent.
• Avoiding probate – If one spouse passes away, the surviving spouse will automatically own the entire property without having to go through the complex Florida probate process.
• Protection against creditors – If someone files a lawsuit against one of the spouses, the property will be protected and cannot be claimed by creditors to satisfy a judgment.

Choose the Best Option with the Help of Marina Title

Are you looking to purchase a new property? Trust the professionals at Marina Title to handle your closing and issue a comprehensive title insurance policy for your new home.

At Marina Title, we pride ourselves on ensuring you have an engaging, professional, and memorable closing experience.

To learn more about our title services, call us today at (305) 901-5628 or send us an email to Info@MarinaTitle.com.