What is the definition of joint tenancy?

Joint tenancy is defined as a co-ownership arrangement where two or more individuals hold equal shares in a property, and crucially, it includes a right of survivorship. This right of survivorship means that when one joint tenant passes away, their share of the property automatically transfers to the surviving joint tenants, rather than being passed on according to the deceased's will or state law. This feature distinguishes joint tenancy from other forms of property ownership and ensures a seamless transition of ownership without going through probate.

Understanding joint tenancy is essential in estate planning and property law, as it allows co-owners to retain control over their interests in the property even in the event of death. In contrast, the other options highlight different legal concepts. Separate interests suggest a division where each party’s ownership rights may not align with the others, while a temporary lease agreement pertains to rental situations and does not involve ownership. A type of mutual fund investment refers to financial assets and investment vehicles, which is unrelated to real property ownership.