Quick answer
A declaration of trust, also called a deed of trust, is a signed document that records how much of a property each owner is entitled to and what happens when it is sold. It matters most when you buy with unequal deposits, a family gift or a partner you are not married to or in a civil partnership with.
We prepare it, explain it to each of you and give you the signed original to keep with your deeds. There is no line for it in our instant quote, so we confirm our fee in writing before we start.
The short version
- A declaration of trust records each owner's share and what happens on a sale, a buy-out or a split.
- Joint tenants own the whole home together. Tenants in common each own a share, which can be unequal.
- It is best signed when you buy, but you can make one later.
- HM Land Registry does not register it, so keep the signed original safe.
On this page
- What is a declaration of trust?
- When do you need a declaration of trust?
- Joint tenants or tenants in common: which needs a declaration of trust?
- What goes in a declaration of trust?
- Can I use a declaration of trust template?
- Does a deed of trust need to be registered at the Land Registry?
- Can a declaration of trust be challenged?
- How do you sever a joint tenancy?
- How much does a declaration of trust cost?
- Declaration of trust or transfer of equity?
- Who oversees your matter
- What clients say
- Where we act
- Helpful guides
What is a declaration of trust?
A declaration of trust is a written statement, usually made as a deed, of who owns how much of a property and on what terms. A deed is a formal document signed in front of a witness. "Deed of trust" and "declaration of trust" mean the same thing here.
Owning a home has two layers. The legal title is who HM Land Registry records as the owners. The beneficial interest is who is entitled to the value, and in what shares. A declaration of trust deals with the second layer. By law, a declaration of trust of land must be proved by writing signed by the person able to declare it (Law of Property Act 1925, section 53(1)(b)). Shares can also arise without writing, from what the owners paid and intended (section 53(2)), which is why disputes happen when nothing is written down.
When you buy together, the transfer deed has a short panel where you say whether you are joint tenants or tenants in common. A separate declaration of trust says much more, such as how a bigger deposit is paid back before the rest is split.
When do you need a declaration of trust?
You do not always need one. It is worth having when the owners have not put in the same, or when the law would not divide the home the way you intend. For example:
- One of you is putting in a bigger deposit, or will pay more of the mortgage.
- Part of the deposit is a gift from one owner's family.
- You are buying with a partner you are not married to or in a civil partnership with. The divorce rules on dividing property do not apply to couples who are not married or in a civil partnership.
- You are buying with friends, a sibling or a parent.
- Someone has paid towards a home that is in another person's sole name. If a share is given in return for money, or for taking on part of the mortgage, Stamp Duty Land Tax may be due (HMRC manual SDLTM04040).
- You let the property out and want the ownership shares written down. Married couples and civil partners are taxed 50/50 on rental income from a home they own jointly, unless their shares are genuinely unequal and they send HMRC a Form 17 with evidence, such as a declaration of trust (HMRC manual TSEM9842). Ask your accountant about the tax.
If nothing is written down, for a couple's home in joint names the usual starting point is that you own it equally. For a property bought as an investment, or with friends or family, a court may instead start from what each of you paid. Arguing for a different split later is possible, but slow and costly. Our guide to joint ownership of a home explains what the law does and does not do for couples.
Joint tenants or tenants in common: which needs a declaration of trust?
Joint tenants own the whole property together, and if one dies it passes automatically to the others. Tenants in common each own a share, which can be unequal and can be left in a will. GOV.UK sets out the two ways to own a property jointly.
| Joint tenants | Tenants in common | |
|---|---|---|
| What you own | The whole property, together, with equal rights to all of it | A share each, which can be equal or unequal (for example 60/40) |
| If one owner dies | The property passes automatically to the other owner or owners | Their share does not pass automatically to the other owners |
| Leaving it in a will | Not possible: survivorship comes first | Yes: the share passes under the will, or the intestacy rules if there is none |
| On the register | No restriction is usually added | HM Land Registry adds a Form A restriction |
| Suits | Couples who want everything to go to each other | Unequal deposits, friends or family buying together, second marriages |
| Changing | One owner can change to tenants in common alone (severance) | Changing to joint tenants needs every owner to agree |
A declaration of trust is most useful for tenants in common, because it records the shares and the terms. Our guide to joint tenants vs tenants in common explains both in full.
From GOV.UK's joint property ownership guidance and HM Land Registry practice guide 24, checked on 29 October 2026.
What goes in a declaration of trust?
It records the shares and the rules you agree for the property. Most cover:
- The shares: fixed percentages, or a formula, such as each owner's deposit back first and the rest split equally.
- Payments: who pays the mortgage, and how extra payments or building work are counted.
- A sale: when the property can be sold and how the money is divided after the mortgage and costs.
- A buy-out: how one owner can buy out the other, and how the value is set.
- Moving out: what happens if one owner leaves or stops paying.
Each owner should understand what they are signing. If your interests are very different, for example one of you is putting in much more, one of you may want independent legal advice from a separate solicitor.
Can I use a declaration of trust template?
You can, but a template rarely covers what matters most: a formula for paying back deposits first, how a buy-out works, or what happens if one of you moves out. It also needs signing properly, usually as a deed in front of a witness. Mistakes are hard and costly to put right later, often when you are already disagreeing.
Does a deed of trust need to be registered at the Land Registry?
No. HM Land Registry records who owns the legal title, not the shares behind it, and it keeps trusts off the register as far as possible. You keep the signed declaration of trust with your deeds.
What the register does show is a restriction. When owners hold as tenants in common, HM Land Registry adds a "Form A restriction", an entry meaning a sole surviving owner cannot give a valid receipt for sale money alone, which protects the other shares. A sole owner who holds the property on trust for someone else should apply for one too, usually on form RX1. HM Land Registry also has a voluntary form, JO, for recording how joint owners hold. No more than four people can hold the legal title.
From HM Land Registry practice guide 24: private trusts of land, checked on 29 October 2026.
Can a declaration of trust be challenged?
A properly made declaration of trust is usually binding on the people who sign it. A court can set one aside in limited cases, for example fraud, a mistake, or one owner being pressured into signing. The owners can also agree to change it later, in writing. If you are married or in a civil partnership, a court dealing with a divorce or dissolution can still divide property differently from the declaration (Matrimonial Causes Act 1973, section 24).
That is why we explain the document to each of you before you sign, and why a separate solicitor for one of you can make sense when the shares are very unequal.
These are general principles. Ask us about your own case.
How do you sever a joint tenancy?
Severing a joint tenancy turns it into a tenancy in common, so your share no longer passes automatically to the other owner when you die. You do not need the other owner's agreement (Law of Property Act 1925, section 36).
- Serve a written notice of severance on the other owners. You can hand it to them, leave it at their last known UK address, or send it by registered post or recorded delivery.
- Fill in HM Land Registry form SEV to register a Form A restriction. If you cannot give the evidence form SEV asks for, use form RX1 instead.
- Send it with the notice signed by all the owners, or a letter confirming how you delivered it.
HM Land Registry charges no fee for this. People often sever when they separate. Going the other way, from tenants in common to joint tenants, needs every owner to agree.
From GOV.UK's change from joint tenants to tenants in common page, checked on 29 October 2026.
How much does a declaration of trust cost?
We confirm our fee in writing before we start. It depends on whether the declaration is part of your purchase or a separate job later, how many owners there are and how detailed the terms need to be. VAT is added to our fee.
Buying together? Our instant quote covers the purchase itself, and we add the declaration of trust to your written quote. Severing a joint tenancy carries no HM Land Registry fee.
Declaration of trust or transfer of equity?
A transfer of equity changes who is on the legal title, for example adding a partner to the deeds. A declaration of trust leaves the names on the register as they are and records the shares behind them. Sometimes you need both: a partner joins the title, and a declaration records that you own 70/30.
See our transfer of equity solicitors page to add or remove an owner.
Who oversees your matter
Shah Ali
Senior Partner & Founder
Supervises our conveyancing team.
What clients say
Where we act
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Leicester office 3rd Floor, St George's House, 6 St George's Way, Leicester LE1 1QZ 0116 393 0334
Conveyancing in Leicester
Waterstone Chambers LLP, trading as Waterstone Legal, is authorised and regulated by the Solicitors Regulation Authority (SRA No. 605949) and CQS accredited.
Helpful guides
This page is general information, not legal, tax or financial advice for your situation. Please speak to us before acting on it.