severance of joint tenancy

[josieann]

Thanks sluge and britica for answering my last question I think I might have misled you on the question.  I am not after sorting the equity I just want to sever joint tenancy so instead of being joint tenants (owners) we will become tenants in common.  I have been told all I have to do is to serve him with notice that I sever joint tenancy but because we have joint  endownment mortgage  do both the insurance company and the building society need to receive notice also to make it legal.

[Sludge]

Joint tenancy is simply based on survivorship. Two people in a joint tenancy theoretically (but not tangibly) own the property in 50/50 shares, and upon the death of one the property simply passes to the survivor automatically, without wills, probate, IHT etc.

Tenants in common own tangible shares in the property in whatever proportion they decide between themselves (50/50, 65/35, 70/30 - whatever). Each party can will their shares to whoever they like, and each party can force a sale to turn their shares into cash. Beneficiaries of a will can force a sale. Probate is necessary, and the value of the shares is taken into account when totalling up an estate for IHT.

He will specifically have to agree to change from joint tenancy to tenancy in common. If he refuses there is absolutely nothing that you can do about it. Serving "notices" has no effect at all. One party unilaterally cannot end a joint tenancy (other than by death, of course).

Should he agree then together you will have to seek the consent of your Building Society as stated previously, who are not obliged to give it. If they consent they will insist upon doing the work with the Land Registry and the Revenue themselves (both yours and theirs) which will cost you around �250. If the division is other than 50/50 there may be a charge to Stamp Duty, so check. You will have to notify your Insurance Company who will deal with the matter as they see fit in the light of the exact details of what it is that you propose.