Affinity Financial Awareness -
Care Division
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Severance of Tenancy
Severance
of Tenancy agreements in combination with trust planning can protect an
estate by changing the legal way in which property is owned.
Such a tenancy in common agreement has little effect on a day to day
basis; however the benefit of owning property in this way is that each partner
can dispose of their share separately in their Will whereas under a joint
tenancy the share would pass to the second proprietor by survivorship
automatically.
If the property is held as tenants in common, it is possible
to pass each partner’s share of the house into a trust arrangement. The
result is that those assets which have passed into the trust would be
excluded from the assessable capital of the surviving partner for the
purpose of contributing to long term care. Therefore, the trust fund is safeguarded
for the beneficiaries, often the children, which would also apply in case
of remarriage or bankruptcy of the survivor.
We are pleased to tell you that Affinity Financial Awareness
offers a comprehensive Will and Trust planning service to complement a
Severance of Tenancy. Please use our contact form to obtain help and information.
