Washington Buyer and Seller Guide for Title and Escrow
19 VESTING: COMMON WAYS OF HOLDING TITLE Community Property Joint Tenancy Tenancy in Common Tenancy in Partnership Title Holding Trust Death On co-owner’s death, 1/2 belongs to survivor in severalty. 1/2 goes by will to decedent’s devisee or by succession to survivor On co-owner’s death, his/her interest ends and cannot be disposed of by will. Survivor owns the property by survivorship On co-owner’s death, his/her interest passes by will to devisee or heirs. No survivorship rights On partner’s death, his/ her partnership interest passes to the surviving partner pending liquidation of the partnership. Share of deceased partner then goes to his/her estate Successor beneficiaries may be named in the trust agreement, eliminating the need for probate Successor’s Status If passing by will, tenancy in common between devisee and survivor results Last survivor owns property Devisee or heirs become tenants in common Heirs or devisees have rights in partnership interest but not specific property Defined by the trust agreement, generally the successor becomes the beneficiary and the trust continues Creditor’s Rights Property of the community is liable for debts of either spouse, which are made before or after marriage. Whole property may be sold on execution sale to satisfy creditor Co-owner’s interest may be sold on execution sale to satisfy his/her creditor. Joint tenancy is broken. Creditor becomes a tenant in common Co-owner’s interest may be sold on execution sale to satisfy his/her creditor. Creditor becomes a tenant in common Partner’s interest may be sold separately by “Charging Order” by his/her personal creditor, or his/her share of profits may be obtained by a personal creditor. Whole property may be sold on execution sale to satisfy partnership creditor Creditor may seek an order for execution sale of the beneficial interest or may seek an order that the trust estate be liquidated and the proceeds distributed Ticor Title has provided these comparisons for informational purposes only. These charts are not to be used to determine how you should acquire ownership in the property. It is strongly recommended that you seek professional advice from an attorney and/or your tax advisor to determine the legal and tax consequences of how your title should be vested.