What Happens to Jointly Owned Property When I Die in Illinois?

 Posted on May 31, 2025 in Estate Planning

Joint ownership of property can be structured in more than one way, and the specifics of what will happen to that property when a co-owner dies can vary. If you have concerns about how joint ownership of your property could impact everything from estate taxes to creditor claims, or anything else related to your estate plan, talk to an experienced Wheaton, IL estate planning attorney today.

What Is Joint Ownership Under Illinois Law?

Illinois’s Joint Tenancy Act covers the legal nuances of joint ownership, which refers to how more than one person holds the title to certain property. In general, there are three types of joint ownership recognized under Illinois law:

• Tenancy in common: With this agreement, the owners of a property have an inheritable share. Therefore, when you die, your share is inherited based on the terms of your will. For example, if you bought real estate with your siblings, your share could be left to someone else, but your siblings would retain ownership of their shares.

• Joint tenancy with rights of survivorship: Under this agreement, the surviving co-owner or owners automatically take ownership of your portion of the property when you pass. For example, if you share a home with your spouse, they would become the sole owner when you pass. 

• Tenancy by the entirety: This is essentially the same as rights of survivorship but is specifically for spouses and includes protection from creditors. For example, if you die with debt, a creditor could not seize property that went to your spouse to pay it off.

If you were to not have a valid will in place when you die, the distribution of your share of your assets could be done according to state intestacy laws. That could mean that it ends up in the wrong hands. Having a secure estate plan can directly impact jointly owned property and ensure your wishes are protected, even after you pass. 

Will the Co-Owner Have To Go Through Probate?

Typically, jointly owned property will avoid the probate process, which means that ownership will transfer without the supervision of the court. However, there are exceptions. If multiple surviving owners are disputing ownership, they may require the probate process to reach a resolution. Additionally, if the ownership records are unclear or incomplete, the court may need to intervene. Talk to your estate planning attorney about steps you can take to avoid the long and expensive probate process and streamline asset distribution for your family and beneficiaries.

Speak With a Lombard, IL Estate Planning Attorney Today

Many legal factors impact the outcome of jointly owned property when one owner passes away. Sometimes, it is not as straightforward as it seems. To ensure your assets will be distributed as you prefer when you are gone, talk to the experienced DuPage County, IL estate planning lawyers at A. Traub & Associates. We can help you create an effective and enforceable estate plan that serves you and your heirs. Call 630-426-0196 to schedule your initial consultation.