In this article, we are looking at how 2 or more persons can own an immovable property (whether HDB or private, residential or commercial). The law provides for 2 forms of ownership, joint tenancy and tenancy-in-common. The form of ownership is recorded on the title document for the property and indicates each owner's share. It also affects how a person's share in the property will pass on his death.
Tenancy-in-common
Proportion of shares - The shareholdings between tenants-in-common need not be equal and can be, for instance, 1/3 : 2/3 or 1/4 : 3/4. Co-owners may decide to have unequal shareholdings for example where the owners wish to divide their shareholdings based on the amount that each had contributed to the purchase price of the property.
Death of a co-owner - If A and B hold the property as tenants-in-common, then upon A's death, A's share in the property will form part of his estate and will be distributed in accordance with A's Will, or if A has died without leaving a Will, his interest will be distributed in accordance with the Intestate Succession Act (Cap. 146). This Act provides for the mode of distribution of the estates of persons dying without a Will. Please note that the mode of distribution discussed does not apply to Muslims.
Any property forming part of a deceased person's estate cannot be dealt with until the personal representative of the deceased person's estate has been appointed. The deceased's executor/next-of-kin will have to apply to the courts for the Grant of Probate (where there is a Will) or the Letter of Administration (where there is no Will) to appoint the personal representative and to vest the property, along with the rest of the deceased's estate, in that personal representative. Hence, where the property is held under a tenancy-in-common, upon the death of one owner, the other owner will have to wait till the personal representative is appointed before the whole property can be sold or otherwise dealt with.
Joint Tenancy
Proportion of shares - In a joint tenancy, each owner will hold the whole property jointly with the other. However, for purposes of estate duty, conversion to tenancy-in-common etc., each owner will be presumed to have an equal share in the property, unless proven otherwise.
Death of a co-owner - If A and B are joint tenants of the property, then upon the death of A, A's interest in the property will automatically pass to B. Even if A had left a Will, A's interest in the property will not be distributed in accordance with A's Will. In other words, the survivor of the two will be entitled to the entire property. This is the right of survivorship.
Sometimes it is unclear which of the owners die first. For example, A and B may have been killed together in a plane crash. In such a situation, there is a presumption in law that the younger dies later.
As A's share in the property has automatically passed to B, B can deal with the whole of the property. However, if B intends to sell or otherwise deal with the property within 12 years of A's death, B will have to produce evidence that there is no estate duty payable on A's estate, or if there is any, the estate duty has been paid.
Conversion of manner of holding
With effect from 1 March 1994, tenants-in-common who have equal shares and joint tenants may convert their manner of holding to a joint tenancy or a tenancy-in-common in equal shares respectively, by making a declaration in the form prescribed under the Land Titles Act (Cap. 157) and registering the declaration at the Singapore Land Registry.
If the owners had granted a mortgage of the property to a financial institution or a charge to CPF Board, the mortgagee's/CPF Board's consent will have to be obtained before the declaration can be registered at the Singapore Land Registry.
The comparison between the 2 forms of ownership can be summarised as follows:-
| Tenants-in-common | Joint Tenants |
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Glossary
Tenancy In Common: A type of joint tenancy in a property where two or more purchasers own a property in unequal shares. If one dies, his or her shares pass to his or her beneficiaries under the terms of the will. Contrast with joint tenancy.
共享权益: 共 享 权 益 (Tenants-in-common) 是 联 名 业 主 的 一 种 , 联 名 的 利 益 是 以 份 数 分 明 , 例 如 是 甲 乙 各 占 一 半 , 甲 占 三 分 之 一 , 其 余 三 分 之 二 由 乙 拥 有 , 分 配 按 联 名 人 士 间 的 协 议 而 确 订 。 这 等 权 益 因 为 份 数 分 明 关 系 , 所 以 可 以 在 无 须 经 另 一 方 的 同 意 下 将 属 于 自 己 的 分 数 自 由 转 售 和 送 赠 他 人 , 及 由 后 人 来 承 继 。
Joint Tenancy: A form of co-ownership that gives each tenant equal shares and rights in the property including the right of survivorship, e.g. ownership of a property passes to the surviving owners.
共有权益人，联名业主: 共有权益人(Joint Tenants) 是联名业权的其中一类 ， 俗称「长命契」。共有权益是以「生还原则」(Principle Of Survivorship) 来作准 , 谁人过世,的权益便归其余还在生的人， 直至死剩最后一人, 共有权益便会消失。
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