The Perils of Joint Tenancy can create unintended gift taxes; results in a loss of control of your assets; can subject assets to your children's creditors; can result in assets passing to unintended heirs. Example #1: Mom (a widow) puts house in joint tenancy with children to avoid probate upon her death. However, when Mom wants to sell house and move to Florida, children can block sale. Example #2: Mom puts house in joint tenancy with eldest son with instructions upon her death to share sale proceeds with younger brother. However, eldest son dies before the house is sold. Since the house is included in the eldest son's estate, it will pass to his wife or creditors and not to younger brother. Example #3: Mom holds assets in joint tenancy with only son. Son goes into debt and files bankruptcy. Son's creditors will go after mom's joint tenancy assets to pay son's debts.

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