Tenancy Highlights

Types of Tenancy
Tenants in Common: An undivided ownership in real estate by two or more persons. The interests need not be equal, and, in the event of the death of one of the tenants, no right of survivorship in the other owner exists.

Joint Tenancy: Persons who are co-owners of equal interests in the same land. Upon death of a joint tenant, his interest automatically passes to the surviving joint tenant(s). This survivorship feature, when it exists, is the principal distinction between a joint tenancy and a tenancy in common. A joint tenant may sever the joint tenancy by conveying his/her interest directly to another party or to him/herself as a tenant in common without permission of the other joint tenant(s). Some possible disadvantages would be if any joint owner's creditors were seeking the property as settlement for a debt; a minor as a joint tenant would involve a guardianship for disposition of property; although the possibility exists of losing senior tax credits, the county usually acknowledges the senior credit.

Tenancy by the Entirety: Only exists between husband and wife who are co-owners of interest in the same land that is used for a primary residence. Specific language must be used on the deed. Only one piece of property may be held in Tenancy by the Entirety. This type of ownership exists as long as the tenants remain married to each other, and upon the death of either such tenant the survivor shall retain the entire estate. Upon a judgment of dissolution of marriage or a declaration of invalidity of marriage, the estate shall, by operation of law, become a tenancy in common until and unless the court directs otherwise. Tenancy by the Entirety may be created by a husband and wife deeding to themselves. No transactions concerning the property are valid unless signed by both parties. The property shall not be liable for judgments against one of the tenants except for the satisfaction of a governmental tax obligation, unless the estate is breached. The estate may be breached by death of one of the spouses; written agreement between both spouses; a deed from both spouses to themselves (in a different form of ownership) or to a third party; declaration of the invalidity of the marriage; discontinued use of the property as a homestead.

OTHER OPTIONS WOULD BE A LAND TRUST OR A FAMILY TRUST.

If you have any questions concerning the type of title beneficial for your situation, consult an attorney.

PROVIDED AS A SERVICE BY FIDELITY NATIONAL TITLE INSURANCE COMPANY & ABSTRACTS AND TITLES, INC.