A Simple Guide to Understanding Different Types of Property Deeds
Life is full of important decisions — from careers and family to buying a home. When it comes to real estate, one of the most critical choices you’ll face is understanding the type of deed you receive. Like navigating the twists and turns of the Game of Life board, each deed type can lead you down a different path with unique rights and responsibilities.
In Florida, the type of deed you receive affects not just how you own the property but what happens to it when you’re no longer around. Let’s explore some common forms of property ownership and the deeds that go with them, so you can make the smartest move on your real estate journey.
Tenants in Common: The Default Move
Think of Tenants in Common as the standard starting square in Florida’s game of property ownership. This form is the default unless otherwise stated in the deed. It allows two or more people to own a property together — but each person owns a specific percentage, which doesn’t have to be equal.
A key feature? When one owner passes away, their share doesn’t automatically transfer to the other owners. Instead, it passes according to that owner’s will or the state’s inheritance laws. This means heirs can inherit a share, which can sometimes complicate things if they don’t all agree on what to do with the property.
Joint Tenants with Rights of Survivorship: Teamwork Wins
If you want to avoid some of the complications of Tenants in Common, you might opt for Joint Tenants with Rights of Survivorship (JTWROS). This is like a team play in the Game of Life — each owner has an equal share, and when one owner dies, their share automatically passes to the surviving owners.
This kind of deed is popular among spouses or close family members because it provides a smooth transfer of ownership without the need for probate. However, all owners must agree to sell or transfer the property while they’re alive.
The Lady Bird Deed: A Strategic Power Play
Also known as an “Enhanced Life Estate Deed,” the Lady Bird Deed is a powerful tool that lets you retain control of your property during your lifetime but automatically transfer ownership to someone else after you pass — without probate.
It’s like holding a special card in the Game of Life that lets you keep your moves flexible while setting up a smooth handoff later. Keep in mind, if you’re married, Florida law requires both spouses to sign the deed for it to be valid. This ensures that both parties agree to the property’s transfer.
Important Note on Married Couples and Deed Transfers
In Florida, if you’re married, both spouses must sign the deed to transfer ownership, no matter what type of deed you’re using. This rule protects both parties’ rights and avoids surprises down the road.
A Quick Peek at Partition: When Heirs Can’t Agree
Sometimes, life throws a curveball. If multiple heirs inherit a property — especially under Tenants in Common — and they can’t agree on what to do, the property may be subject to a partition. Think of it as a game-ending scenario where the property gets divided or sold to settle ownership disputes.
Partition is a complex process and deserves its own detailed discussion — but it’s worth knowing that choosing the right deed and ownership type early on can help avoid this outcome.
Ready to Make Your Next Move?
Understanding the types of deeds and ownership options is like knowing the rules of the Game of Life — it gives you the power to play smarter and protect your interests. If you’re buying or transferring property, don’t leave your move to chance.
Contact our firm to ensure your deed and ownership choices fit your goals and comply with Florida law. We’ll help you navigate every twist and turn so you can confidently take your next step.