Final answer:
In a situation where one roommate dies and the other automatically inherits the deceased's share, they likely held the property as joint tenants with right of survivorship (JTWROS). This allows for the immediate transfer of the deceased's interest to the surviving owner, without going through probate or being affected by a will or intestacy laws.
Step-by-step explanation:
If one roommate dies and the other automatically inherits the deceased individual’s share of the property, the type of ownership they had most likely qualifies as joint tenancy with right of survivorship (JTWROS). This form of ownership is characterized by the fact that it includes a right of survivorship clause. Upon the death of one joint tenant, their interest in the property is automatically transferred to the surviving joint tenant(s) rather than being included in the deceased’s estate for distribution under a will or intestacy laws. This type of ownership is distinct from tenancy in common, where each owner holds an individual part of the property and the death of one tenant does not result in the automatic transfer of their share to the other tenant(s). Instead, their share would be transferred according to their will or the state intestacy laws if they died without a will.
Joint tenancy with right of survivorship is beneficial for those who wish to ensure that specific individuals receive their interest in a property without the delays and expenses associated with probate. It’s a common arrangement among family members, business partners and close friends who own property together.