How many names on a title?

3 Replies

How many names can be on a property title? Let's say there are 6 people putting up money to purchase a property, can all of them have their names on the title? If yes, do they all have to be present when signing or anything related to the property?

Thanks in advance!

Originally posted by @Arturo Borges :

How many names can be on a property title? Let's say there are 6 people putting up money to purchase a property, can all of them have their names on the title? If yes, do they all have to be present when signing or anything related to the property?

Thanks in advance!

 Yes. Six people can be on title. It can cause a lot of problems when it comes time to sell though. If even one of the six won't sign, you have a problem. 

They can sign at different times and from different locations depending on the closing attorney or escrow company. If it is for an investment property, you might want to look into creating an LLC that one person controls and the others have part ownership in. That way one person can make decisions without having to get all 6 people to agree. I had a friend who inherited a farm and the 5 siblings couln't all agree on what to do, sell or rent or live in the farm. It took about ten years for everyone to get on board with agreeing to the final decision. Just make sure you plan your exit strategy well.

Sure you can have all six names on title... but presumably all would be percentage owners and therefore tenants in common. As such the property would be subject to creditors of all 6 owners. Not good.

A much better plan, as @Mike M. suggested, and for the reasons he suggested, is to form an entity of some sort.

Hello @Arturo Borges

Due to the various ways you can hold title (tenants in common, joint tenants, etc.), and all the decisions that need to be made I would highly recommend not putting everyone on the title.

It's much better to create and entity (limited partnership, partnership, LLC, etc.) where you can more specifically define the rights and responsibilities of all the investors/partners/lenders/etc. It will give you much more control and will make that ownership process easier.

Bob

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