Owning property in joint tenancy means that the partners own equal shares. When one partner dies the other is automatically the heir But it is an inheritance. For the partner's share to pass to the surviving partner either, the estate of the deceased must pay off the loan or you agree to assume it or the lending compnay will file a lien.
The mortgage is on the property, even if it is only on the half owned by the deceased. Nevertheless the property is encimbered.
I am a Real Estate Broker and not a lawyer. So check this out with a lawyer but I believe this to be the correct opinion of this situation.... more