Property Ownership Options for Seniors: A Plain-English Guide to Protect Your Home and Assets
Your goals often include keeping control of your home, avoiding probate delays, reducing family conflict, and making things easy for a spouse or loved ones.
The way your property is titled determines what happens if you become ill, pass away, or face creditor issues.
Below are common ownership types, how they work, and what to consider as a senior.
At a glance: Common ownership types
Individual ownership: One person owns it. Goes through probate unless you add beneficiary designations or a trust.
Joint Tenancy with Right of Survivorship (JTWROS): Two or more people own together; the survivor(s) automatically inherit the deceased owner’s share.
Tenancy by the Entirety (married couples only in many states): Strong survivorship rights plus added protection from certain creditors.
Tenancy in Common (TIC): Two or more people own set percentages. No survivorship rights—each owner’s share goes to their heirs.
Title by contract (beneficiary designations): Accounts or assets pass directly to named beneficiaries (POD/TOD, life insurance, retirement accounts, trusts, etc.).
Individual Ownership
What it is
Property titled in one person’s name only. Can be real estate (home, land), vehicles, or investments (stocks, bonds, mutual funds), and business interests.
What happens when the owner dies
Typically goes through probate unless a trust or beneficiary designation is in place.
Pros
Full control while you’re alive.
Simple to set up and understand.
Considerations for seniors
Probate can be slow and public.
Consider a revocable living trust or adding beneficiary designations (where allowed) to help assets pass smoothly.
Joint Tenancy with Right of Survivorship (JTWROS)
What it is
Two or more people own equal shares (e.g., five owners each own 20%).
When one owner dies, their share passes automatically to the surviving owners.
Pros
Avoids probate for the deceased owner’s share.
Can be simple for a spouse or co-owner arrangement.
Important considerations and risks (especially when adding adult children)
Equal shares only; you cannot set unequal ownership amounts.
All owners usually must agree to sell or mortgage real estate.
If a co-owner has creditor issues, lawsuits, or a divorce, their share can be at risk—potentially impacting the property.
A co-owner can transfer their share to someone else without others’ approval, which can cause friction.
A co-owner can pursue a “partition” action to force a sale.
If one co-owner dies, their heirs typically do not inherit—only surviving co-owners do.
JTWROS generally overrides the terms of a will.
Example: If Mary adds her four children as joint tenants on her home:
She would need everyone’s permission to sell or refinance.
A child’s creditor or ex-spouse could make claims against that child’s share.
If one child dies first, that child’s heirs may receive nothing from the home.
Tenancy by the Entirety (married couples only, available in many states)
What it is
Special form of joint ownership for spouses in certain states. The couple is treated as one legal entity.
What happens when a spouse dies
The surviving spouse automatically owns the property. Probate is typically avoided.
Pros
Strong survivorship rights.
In many states, certain creditors of one spouse cannot place a lien on the property owned as tenancy by the entirety.
Considerations for seniors
Available only to married couples and only in specific states.
Both spouses usually must consent to sell or mortgage real estate.
Tenancy in Common (TIC)
What it is
Two or more people own specific, possibly unequal percentages (for example: 5%, 10%, 50%, 15%, 20%).
What happens when an owner dies
That owner’s share typically goes to their heirs or per their will—no automatic transfer to other owners.
Pros
Flexible ownership percentages.
Useful when contributing unequal amounts or for estate planning where you want your share to go to your heirs.
Considerations for seniors
No automatic survivorship—probate may be required for a deceased owner’s share.
Co-owner disputes can still lead to a forced sale (partition), depending on state laws.
Title by Contract (beneficiary designations)
What it is
Assets pass directly to named beneficiaries and avoid probate. Common examples:
Life insurance
Retirement accounts (IRAs, 401(k), 403(b), etc.)
Deferred annuities
Revocable living trusts (assets titled to the trust follow the trust terms)
Bank accounts with Payable on Death (POD)
Investments with Transfer on Death (TOD)
In some states, vehicles or real estate can have TOD designations
Life estates (you keep the right to live in your home for life; the property passes to a named person at death)
Pros
Direct transfer to beneficiaries; generally avoids probate.
Usually simple to set up for accounts and policies.
Considerations for seniors
Beneficiary designations override your will.
Keep beneficiaries up to date after major life changes.
For real estate, consider the pros and cons of life estates or TOD deeds in your state.
How to choose what’s right for you: A simple checklist
Step 1: Clarify your goals
Do you want to keep full control while you’re alive?
Is avoiding probate important to you?
Do you want your spouse to inherit automatically?
Do you want to leave specific shares to children or heirs?
Step 2: List your assets
Home, other real estate, bank accounts, investments, retirement accounts, insurance, vehicles, business interests.
Step 3: Match assets to the best titling option
Consider a revocable living trust for real estate and complex situations.
Use POD/TOD for bank and investment accounts where appropriate.
Use JTWROS or tenancy by the entirety for spouses if it fits your goals.
Use TIC when you want control over your percentage and who inherits it.
Step 4: Talk with a qualified professional
Laws vary by state. A brief consultation can prevent costly mistakes.
Step 5: Keep documents current
Review titles and beneficiary designations every 1–2 years or after life changes.
Frequently Asked Questions
Does joint tenancy avoid probate?
Yes, usually for the deceased owner’s share. It passes to the surviving co-owners.
Can I choose unequal ownership shares?
Not with JTWROS. Use Tenancy in Common to set different percentages.
Will my will control who gets my jointly owned property?
Usually no. With survivorship rights or beneficiary designations, those generally override a will.
What’s the safest way to keep control and still avoid probate?
Many seniors use a revocable living trust combined with beneficiary designations for financial accounts. Talk to a professional to see if this fits your situation.
Are my assets protected from my child’s creditors if I add them to my home title?
Not necessarily. Adding children can expose the property to their creditors or divorce claims. Consider alternatives (trusts or beneficiary deeds, where allowed).
