Joint Tenants vs Tenants in Common QLD

Understanding your property ownership rights in Queensland

When purchasing property with another person in Queensland, one of the most important decisions you’ll need to make is how to structure ownership. There are two main ways to own property jointly in Queensland: as joint tenants or as tenants in common. Each option carries different legal consequences, especially in the event of death or sale.

What’s the difference between joint tenants and tenants in common?

If there is more than one person or entity buying a property, you must stipulate whether you hold that property as “joint tenants” or “tenants in common”. There are significant differences between the two, as outlined below.

Joint tenants QLD

When you own property as a joint tenant, you and the other person own the property together – that is, you do not each own a share of the property, but rather you each own the whole property together.

The most fundamental thing about a joint tenant property is that it does not form part of your estate when you die. Instead, the property automatically passes to the surviving owner. This means you cannot include a joint tenant-held property in your Will or estate planning.

In a joint tenancy, both owners:

• Have equal rights and interests in the entire property

• Cannot own defined shares — the ownership is 100% shared

• Benefit from the right of survivorship — meaning if one owner dies, their interest automatically passes to the surviving owner

• Must act jointly for any legal or financial decisions involving the property

This is commonly used by:

• Married couples

• De facto partners

• Spouses planning for seamless estate transfer

Tenants in common QLD

If you own property as tenants in common, you and the other owner can own a defined share of the property (e.g. 50% each, or 90% and 10%). Owning property as tenants in common does not entitle you to a specific portion or area of the property without agreement with the other co-owner.

You can transfer your share in the property to someone else, and your share also forms part of your estate, so you should include your interest in the property in your Will and your estate planning.

When you register a property as tenants in common in Queensland:

• Each party holds a separate, defined share in the property (e.g. 50/50, 70/30).

• The shares can be equal or unequal, depending on the agreement.

• If one owner passes away, their share does not pass to the other co-owner — it becomes part of their estate and is distributed according to their Will or intestacy laws.

• Owners can sell, gift, or mortgage their share independently (subject to certain conditions).

This ownership structure is often used:

• By friends or family members purchasing together

• In investment property scenarios

• Where parties contribute unequally to the purchase price

• For estate planning flexibility

Key Differences Between Tenants in Common and Joint Tenancy

Here are the differences clearly displayed in a table format.

Benefits of legal advice

Speak with Cairns Conveyancing Solicitors for expert legal advice to help you decide which of these options is best for you. You should also get financial advice. The wrong decision can have serious estate planning, transfer duty, and tax implications for you and your family.

Frequently Asked Questions 

Can I change from joint tenants to tenants in common later?

Yes. This process is referred to as severing the joint tenancy. It involves lodging a Form 1 Transfer with Titles Queensland and updating the title.

Can tenants in common own different percentages of shares?

Yes. You can agree on any division (e.g. 60/40 or 70/30) and record this on the title.

What happens if a tenant in common dies?

Their share forms part of their estate and is distributed according to their Will or, if no Will exists, by intestacy laws.

Can I sell my share as a tenant in common?

Yes, you may be able to sell or transfer your interest independently. However, it’s advisable to check for any co-ownership agreements or obtain legal advice before doing so.

Which structure is better for estate planning?

Tenants in common offer more control over how your share is distributed after death, making it preferable in many estate planning scenarios.