Question 1

What are the advantages of joint tenancy with survivorship in Florida?

Accepted Answer

Advantages include: probate avoidance (the property passes automatically to the survivor without court proceedings, saving time and legal fees), simplicity (the transfer requires only a death certificate and affidavit of survivorship), immediate transfer (the survivor has immediate access to and control of the property), privacy (unlike probate, the survivorship transfer is not subject to public court proceedings), creditor protection (creditors of the deceased tenant generally cannot reach the property after death, though creditors of the surviving tenant can), and cost efficiency (no attorney fees for probate administration of the property).

Question 2

What are the disadvantages of JTWROS in Florida?

Accepted Answer

Disadvantages include: loss of control (the surviving tenant inherits regardless of the deceased tenant’s wishes at death; a will cannot redirect the property), loss of stepped-up basis (for federal tax purposes, only the deceased tenant’s half receives a stepped-up basis to fair market value at death; the surviving tenant’s half retains the original basis), exposure to the other tenant’s creditors (a judgment creditor of a living joint tenant can lien or force sale of the property), unilateral severance risk (one tenant can destroy the survivorship right without consent), inability to plan for contingencies (JTWROS does not provide for distributions to children or other beneficiaries after the survivor’s death), and potential gift tax issues (if one person funds the purchase but title is held as JTWROS with another, a gift may have occurred).

Question 3

How does JTWROS compare to a Florida revocable trust for estate planning?

Accepted Answer

For estate planning purposes, a revocable trust is generally more flexible than JTWROS: the trust can provide for successive beneficiaries (children after the surviving spouse), include conditions and restrictions on distributions, protect assets from beneficiaries’ creditors through spendthrift provisions, provide for incapacity management, and cover all assets (not just one property). JTWROS is simpler and cheaper to establish but provides only a one-step transfer to the surviving tenant with no further planning. For most Florida families, a comprehensive revocable trust is the preferred estate planning tool, with JTWROS used as a supplementary strategy for specific assets.

Joint Tenancy With Survivorship

Joint Tenancy With Survivorship Under Florida Law

Advantages

Disadvantages

JTWROS vs. Revocable Trust

Related Terms

Barnes Walker Estate Planning

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