Inheriting property with siblings: What happens when one dies?
💡 The big question: If you co-own inherited property with siblings, what happens if one of you dies? The answer depends on the ownership structure.
⚖️ Two main ownership types:
-
Joint Tenancy with Right of Survivorship (JTWROS)
- Ownership automatically transfers to surviving co-owners when one dies—no probate needed.
- ⚠️ Watch out: This overrides any will and could conflict with the deceased's wishes to pass their share to a spouse or children.
-
Tenancy-In-Common
- Each co-owner has a divisible share they can pass on via a will.
- Allows unequal ownership (e.g., one sibling owns 40%, others 30%).
- ⚠️ Risks: Probate delays and potential creditor claims if no estate plan is in place.
🛠️ Plan ahead:
- Review your deed to confirm ownership type.
- Estate planning is crucial to ensure your wishes are honored.
- Communicate openly with siblings about future intentions to avoid conflict.
💡 Why it matters: Misunderstanding property rules can disrupt family harmony and long-term plans.
