Ways to Take Ownership of Real Property
How you take ownership of real property, a process also known as "vesting of title," affects who is capable of signing any documents or transactions that may affect ownership and title status of the property. It can affect who will have the use and enjoyment of the property after you have passed away, and in some instances, it can affect the amount of estate or gift taxes assessed.
Other People Are Reading
-
Sole Ownership
-
If you are an individual who wishes to be the only person responsible for the property, you can take title to the property alone. If you have not been married, the vesting language that follows your name on the deed will state that you are a "single man" or a "single woman." For example, if your name is Jane Smith, the vesting on the deed would state "Jane Smith, a single woman." For individuals who have been married before and are now divorced, the language would be "an unmarried man" or "an unmarried woman." If you wish to take possession of the property by yourself, yet you are married, the vesting language would read "a married man, as his sole and separate property" or "a married woman, as her sole and separate property."
Co-Ownership
-
Property obtained during the marriage of two individuals that the law considers to be jointly owned and equally shared is termed "community property." Separate property is different from community property in that it includes property purchased before the marriage.
-
Community Property with Right of Survivorship
-
A husband and wife taking title to a home together is the most common example of co-ownership. This kind of ownership can be described as "community property with right of survivorship." If both parties are married to each other at the time of death of either party, the remaining owner retains their half interest and gains the half interest of the deceased spouse.
Joint Tenancy
-
A "joint tenancy" is created when two or more individuals, who may or may not be married or related, share an interest in a property. The shares are typically equal, however interests can be split in any number of ways. The caveat for this kind of tenancy to be created is that individuals must have acquired an interest in the property at the same time and through the same document, and they must state on the deed their intent to take title together. If individuals who desire to take interest as joint tenants wish to have title pass by operation of law, without probate, the phrase "as joint tenants" or "as joint tenants with rights of survivorship" must follow their names on the conveyance.
Tenancy in Common
-
A tenancy in common vesting would not offer any survival benefits to either party on the deed. When one party dies, her interest would go to her heirs, rather than any other person included on the title.
Other Title Vestings
-
Corporations and partnerships can take title under their business names, and trusts can also hold title in real property.
-
