Shared Property: What Happens When One of the Owners Dies

Owning a shared property with someone else is a common decision in Florida, especially among spouses, family members, or investment partners. However, many people don’t stop to consider what will happen to that real estate when one of the co-owners passes away.

Does the property automatically transfer to the other owner? Does it have to go through probate? What happens if there is no will? In this article, we clearly explain what happens in Florida when one of the owners of a shared property dies and how you can plan to avoid legal problems or family conflicts.

What is shared property?

Shared property is when two or more people are listed as owners on the property title. There are different legal ways to hold property ownership in Florida, and each has different implications when one of the co-owners dies.

The most common types are:

• Joint Tenancy with the Right of Survivorship.
• Tenancy in Common.
• Tenancy by the Entirety – exclusive for married couples.

What happens when an owner dies?

The answer depends directly on how the ownership for the property is structured. Below, we explain each case.

Joint Tenancy with Right of Survivorship
If the property title includes the phrase “with right of survivorship,” then when one co-owner dies, their share automatically passes to the other owner without the need for probate.

Example: Juan and Ana bought a house together with right of survivorship. When Juan dies, Ana automatically becomes the sole owner of the house.

Advantages:

• Avoids probate.
• Immediate transfer.
• Low cost.

Important: This form of ownership must be clearly specified on the title. If it is not written, it is not assumed automatically.

Tenancy in Common
This is a very common form when several people invest together in a property or inherit it. Here, each person owns a specific percentage of the property, and there is no automatic right of survivorship.

If one co-owner dies, their share does NOT pass to the other owner but becomes part of the deceased’s probate estate and must go through probate.

Example: Pedro and Carlos are 50/50 co-owners of a house under tenancy in common. If Pedro dies, his 50% will go to the heirs named in his will or according to the law, not automatically to Carlos.

Consequences:

• Mandatory probate process.
• Possible conflicts with new heirs.
• May complicate the sale or use of the property.

Tenancy by the Entirety
Available only to married couples, this form of ownership treats both spouses as a single legal entity. If one spouse dies, the other automatically becomes the sole owner without probate.

Example: Laura and Miguel are married and bought a house under this form. When Miguel dies, Laura automatically owns the entire property.

Advantages:

• Protection from individual creditors.
• Avoids probate.
• Simple and effective for married couples.

What if there is no will?

If the deceased person had no will and their share of the property must go through probate (as happens with tenancy in common), then Florida’s intestate succession laws apply.

This can mean that:

• The deceased’s share is distributed among their children, spouse, or other relatives.
• The surviving co-owner must live with or negotiate with new, unknown heirs.
• The property may be sold if the heirs want to liquidate their share.

How to protect your share of the property

If you currently own shared property, you can plan ahead to avoid complications if one of the owners dies:

• Review the property title
  Request a copy of the title and verify how the ownership is written. This will let you know if there is a right of survivorship or not.
• Modify the deed
  If you want to add a right of survivorship or change the ownership type, a lawyer can help prepare a new deed with the correct terms.
• Create a living trust
  Transferring the property or your share to a trust allows it to pass directly to the beneficiary without probate.
• Include the property in a will
  Although this does not avoid probate, it clearly indicates who should receive the deceased’s share.
• Consult a specialized attorney
  Every situation is unique. An estate planning and real estate lawyer can help you make the best legal and tax decisions.

What about property expenses?

After one co-owner dies, maintenance, taxes, mortgage, or insurance remain the responsibility of the surviving co-owners or the deceased’s estate.

Until the legal situation of the property is resolved, it is important that all payments are kept current to avoid fines or liens.

Sharing ownership of a house or property in Florida requires legal clarity and planning. How the property is titled determines whether the transfer upon death will be automatic or will require a probate process.

Whether you share a home with your partner, family, or business partners, it is essential to review how that property is legally structured and take steps to protect everyone involved.

Do you have shared property and want to know what would happen if one of the owners dies?

At Jurado & Associates, we help you analyze your situation and find the best strategy to protect your assets and avoid legal problems. Contact us today at [email protected], or call or WhatsApp us at +1 (305)-921-0976.

Planning is prevention. We help you do it with confidence!