Definition
A way for two or more people to own an asset together in equal shares where, when one owner dies, that owner's share passes automatically to the surviving owner or owners. The transfer happens outside probate and overrides anything a will says. It is the default titling for many married couples' homes and joint accounts, and it differs from tenancy in common, where each owner's share passes through their will.
Why it matters
Survivorship titling is a simple probate shortcut, but it also gives every co-owner full exposure to the others: a co-owner's creditors, divorce, or lawsuit can reach the asset, and adding a non-spouse can count as a taxable gift. For a non-spouse co-owner, only the deceased's share gets a step-up in basis.
Example
Two sisters buy a $400,000 lake cabin as joint tenants with right of survivorship. When one dies, the survivor owns the whole cabin the same day, with no probate and no role for the deceased sister's will. Had they held it as tenants in common, the deceased sister's half would have passed through her will, possibly to her children, making the survivor a co-owner with her nieces.
Put it into practice
Related terms
This definition is educational, not financial, legal, or tax advice. U.S. rules and limits change; verify time-sensitive details with official sources. See our disclaimer.