Types of Ownership – Mortgage

An individual/a single person, a group of people, a partnership and an organization/a corporation can be a owner of the property. A property always belongs to one or more owners and those owners hold the ownership of that property.

Some common types of ownerships are discussed below:

Joint Tenancy: In this ownership each individual/partner owns an equal share of the mortgage. The important part is, if any individual expires, the ownership of the deceased person automatically goes to the other joint tenants of the mortgage.

Tenancy by the Entirety: This is very similar to the joint tenancy but it can be done only in case of husband and wife. Debts of the both husband and wife can be attached to the property and upon the death of one tenant, ownership passes to the other tenant of the mortgage property. However, in case of divorcee, this will not work and there will be no automatic pass of ownership to surviving tenant of the mortgage property.

Tenancy in Common: This is a joint tenancy with no rights will be passed to the other tenants in case of death of any tenant. This means, upon the death of one of the tenants, the ownership of the property does not transfer to the surviving tenant/tenants. In this ownership, each tenant can sale the individual interest of the ownership with out affecting the joint interest and other tenants have no right to stop the proceedings.

So these are the common types of ownerships that are popularly used in the mortgage industry of United States America.