Types of Vesting Related to Real Estate Ownership

Title vesting is the way an owner (or owners) of property takes title to their real estate. The way that title is held will affect what the owner (or owners) can do with the property during his or her lifetime, and will also determine whether or not the property has to go through probate proceedings upon the owner’s death.

When a deed is written for real property, the ownership is described using the owner’s name and a descriptive phrase for the legal relationship between multiple owners or married people. Vesting decisions will vary from state to state.

There are multiple ways to hold title to real estate. Vesting decisions should be made with the help of a real estate lawyer.

Sole ownership: When an individual owns property by himself, it is considered to be sole ownership.

Joint tenancy: This requires at least two owners. All owners must take ownership of the property in equal percentages. When one owner dies, their interest is divided equally among the surviving owner(s), thus avoiding probate.

Community property with right of survivorship: Community property law does not apply to all states. Community property refers to the real property owned jointly by a husband and wife during their marriage. Upon the death of one spouse, the property will automatically transfer to the surviving spouse. Probate proceedings are avoided with community property.

Community property: Community property refers to all real property owned by a husband and wife during their marriage and is only available in some states. When property is held in this manner, without rights of survivorship, probate proceedings are usually required upon the death of one of the owners unless a survivorship clause exists.

Tenants in common: This type of co-ownership requires at least two owners. Tenants in common own property jointly, each person having the right to will or sell the property. Percentages of ownership can be equal or unequal.  In the case of one owner’s death, the property will need to go through probate proceedings.

Alabama In Alabama, real estate conveyed to two more people will create a joint tenancy. The default way for married persons to hold title is as tenants in common, unless the conveyance states a right of survivorship. Joint tenancy and tenancy in common are recognized types of ownership in this state. Alabama Code 35-4-7.

Alaska The following types of ownership are recognized in Alaska: tenancy by entirety and tenancy in common. A grant of ownership to two or more people in Alaska is presumed to create a tenancy in common. However, a husband and wife owning property will automatically create a tenancy by the entirety, unless the conveyance states otherwise. Alaska Code §34.15.120 through .140.

Arizona In Arizona, real estate owned by two or more people is presumed to create a tenancy in common, unless the deed states that they are “joint tenants with rights of survivorship, not tenants in common, not community property.” This state recognizes the following types of ownership: tenancy in common, joint tenancy, and community property. A conveyance to a husband and wife during the marriage is presumed to be community property, unless it is expressly stated in the conveyance that a joint tenancy is being created and is accepted by the grantees. Arizona Code §33-431.

Arkansas Real estate in Arkansas conveyed to two or more people is classified as a tenancy in common unless otherwise specified. Conveyances to married couples are tenancies by entirety unless otherwise specified. Joint tenancy with right of survivorship is available to two or more owners, regardless of their relation to each other and must be specified on the face of the deed (18-12-106).

California This staterecognizes the following types of ownership: tenancy in common, joint tenancy, and community property. A grant of ownership of real estate to two or more persons is presumed to create a tenancy in common, unless the instrument specifically states that a joint tenancy with rights of survivorship is being created. In the case of husband and wife, the rules of community property apply. California CC §761, 682-85.

Colorado The following types of ownership are recognized in Colorado: tenancy in common and joint tenancy. Two or more people owning real estate will automatically own as tenants in common, unless the deed states that they are joint tenants with rights of survivorship. Colorado Code §38-31-101, 107.

Connecticut Tenancy in common and joint tenancy are recognized forms of ownership in Connecticut. When two or more people in Connecticut own property, they are presumed to own as tenants in common, unless the deed states that they are joint tenants with rights of survivorship. Connecticut Code §47-36a.

D.C. The default way for two or more people to own property together in D.C. is as tenants in common; however, every estate vested in executors or trustees will be a joint tenancy, unless the deed states otherwise. A tenancy by the entirety can be created in a conveyance of real property to spouses or domestic partners. § 42-516.

Delaware The following types of joint ownership are recognized in Delaware: tenancy in common and joint tenancy. A grant of ownership to two or more people will create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. Delaware Code §25-311, 701.

Florida This state recognizes the following types of ownership: tenancy in common, joint tenancy, and tenancy by the entirety. A grant of ownership of real estate to two or more persons is presumed to create a tenancy in common, unless joint tenancy with survivorship rights is explicitly stated. A right of survivorship must be specifically stated. Florida Code §689.14-.15.

Georgia A grant of ownership of real estate to two or more persons in Georgia is presumed to create a tenancy in common, unless a joint tenancy with rights of survivorship is specifically created. The deed must specify right of survivorship. This state recognizes the following types of ownership: tenants in common and joint tenants with rights of survivorship. Georgia Code §44-6-190.

Hawaii In Hawaii, property can be owned as tenants in common, joint tenants, or as tenants by the entirety. A grant of ownership of real estate to two or more people is presumed to create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. Hawaii Chapter 510.

Idaho A grant of ownership to two or more persons will create a tenancy in common by default, unless the deed states that they are joint tenants with rights of survivorship. If the grantees are husband and wife, the real estate acquired during marriage is considered to be community property. Tenancy in common, joint tenancy, and community property are recognized ways to own property in this state. Idaho Code §55-104, 508.

Illinois When two or more people are granted real estate in Illinois, they are presumed to own as tenants in common, unless a joint tenancy with rights of survivorship, not tenants in common is specifically created. However, in the case of a husband and wife, a joint tenancy is specifically created. The following types of ownership are recognized in Illinois: joint tenancy, tenancy in common, and tenancy by the entirety. Illinois §765-1005/1, 1c.

Indiana The following types of ownership are recognized in this state: Tenancy in common, joint tenancy, and tenancy by the entirety. A grant of ownership to two or more people will create, by default, a tenancy in common, unless a joint tenancy with rights of survivorship, not tenants in common and not tenants by entirety is expressly stated. However, if the grantees are husband and wife, a tenancy by the entirety is created automatically. Indiana Code §32-1-2-7, 8.

Iowa Real property in Iowa can be owned by two or more people as tenants in common or as joint tenants. When two or more people own property together, they are presumed to own as tenants in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. Iowa Code §557.15.

Kansas Real property in Kansas can be jointly owned as tenants in common, joint tenants, or as tenants by the entirety. A grant of ownership to two or more people automatically creates a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. Iowa Code §557.15.

Kentucky This state recognizes the following types of co-ownership: tenancy in common, tenancy by entirety, and joint tenancy without a right of survivorship. The right of survivorship for joint tenants must be expressly written into the vesting statement. A grant of ownership to real estate to two or more persons will automatically create a tenancy in common, unless the instrument states that they are joint tenants with rights of survivorship, not tenants in common. Kentucky Code §381.050, 120.

Louisiana This state does not recognize common law estates. Joint ownership is referred to as ownership in indivision. All co-owners are presumed to be equal. Co-owners of property may convey or alienate their individual shares, but the consent of all owners is necessary. Louisiana CC §797-806.

Maine The following types of co-ownership are recognized in Maine: tenancy in common and joint tenancy. When real estate is granted to two or more people, it is presumed to create a tenancy in common, unless a joint tenancy with survivorship rights is specifically created in the deed. Maine T.33, §159.

Maryland A grant of ownership to two or more people in Maryland will create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. In the case of husband and wife grantees, though, Maryland law presumes the creation of a tenancy by the entirety. The following types of ownership are recognized in this state: tenancy in common, joint tenancy, and tenancy by the entirety. Maryland Real Prop. Art. §2-117.

Massachusetts This state recognizes tenancy in common, joint tenancy, and tenancy by the entirety. Real estate granted to two or more people will create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. Massachusetts C. 184, §7.

Michigan Tenancy in common, joint tenancy, and tenancy by the entirety are recognized forms of ownership in Michigan. A grant of ownership of real estate to two or more people is presumed to create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common and not tenants by the entirety. In the case of a conveyance to a husband and wife, a tenancy by the entirety is the default type of ownership. Michigan CLA §554.43-.45.

Minnesota When real estate in Minnesota is conveyed to two or more people, it is presumed to create a tenancy in common, unless a joint tenancy with rights of survivorship is expressly created in the deed. The following types of ownership are recognized in this state: tenancy in common and joint tenancy. Minnesota Code §500.01, .19.

Mississippi This state recognizes the following types of ownership: tenancy in common, joint tenancy, and tenancy by the entirety. A grant of ownership to two or more persons will create, by default, a tenancy in common unless the deed states that a joint tenancy with rights of survivorship, not tenants in common, is created. Mississippi Code §89-1-5.

Missouri Property in Missouri can be co-owned as tenants in common, joint tenants, or as tenants by the entirety. When two or more persons own property, the default type of ownership is as tenants in common, unless the conveyance states that they are joint tenants with rights of survivorship, not tenants in common. Missouri Code §442.025, .450.

Montana Montana recognizes tenants in common and joint tenants. A grant of ownership in real estate to two or more persons creates a tenancy in common, unless a joint tenancy with rights of survivorship is specifically stated in the deed. Montana Code §70-1-306, 314; 70-15-202.

Nebraska This state recognizes tenancy in common and joint tenancy as types of ownership. When real estate is granted to two or more persons, a tenancy in common is automatically created, unless a joint tenancy with rights of survivorship is specifically created in the deed. 76-275.07.

Nevada Real property in Nevada can be owned as tenants in common, joint tenants, or as community property. When two or more people own property together, they are presumed to own as tenants in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. The community property law applies to husband and wife. Nevada Code §111.060-.065; 123.030.

New Hampshire The default type of property ownership for two or more persons is as tenants in common, unless the conveyance states that they are joint tenants with rights of survivorship. A conveyance to a husband and wife creates a joint tenancy. Property in this state can be owned as tenants in common or as joint tenants. New Hampshire C. 477, §18-19.

New Jersey This state recognizes the following types of ownership: tenancy in common, joint tenancy, and tenancy by the entirety. A grant of ownership of real estate to two or more persons is presumed to create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. If property is conveyed to a husband and wife, it is presumed that a tenancy by the entirety is created. New Jersey Code §46-3-17, 17.2, 17.3; 3B-11-3.

New Mexico New Mexico recognizes the following types of ownership: tenancy in common, joint tenancy, and community property. When property is conveyed to two or more people, a tenancy in common is automatically created, unless a joint tenancy with rights of survivorship is expressly created in the conveyance. Community property with rights of survivorship must be expressly written in to the conveyance. New Mexico Code §47-1-36.

New York The following types of joint ownership are recognized in New York: tenancy in common, joint tenancy, and tenancy by the entirety. A grant of ownership of real estate to two or more people will automatically create a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship. In the case of married persons, a tenancy by entirety is presumed to be created. New York E.P.T.L. §6-1.1, 6-2.2.

North Carolina Tenancy in common, joint tenancy, and tenancy by entirety are recognized types of co-ownership in North Carolina. When real estate is conveyed to two or more people, a tenancy in common is automatically created, unless the deed states that they are joint tenants with rights of survivorship. North Carolina Code §41-2.

North Dakota When real estate is conveyed to two or more people, a tenancy in common is automatically created, unless a joint tenancy with rights of survivorship is specifically stated in the deed. This state recognizes the following types of co-ownership of property: tenancy in common and joint tenancy. North Dakota Code §47-02-05.  

Ohio The following types of co-ownership are recognized in Ohio: tenancy in common and joint tenancy. A grant of ownership to two or more persons is presumed to create a tenancy in common, unless the deed states “For their joint lives, remainder to the survivor of them.” Ohio Code §5302.17-.21.

Oklahoma A grant of ownership to two or more persons in Oklahoma is presumed to create a tenancy in common, unless the conveyance specifically states that they are joint tenants with rights of survivorship, not tenants in common. Co-owners may own property as tenants in common, joint tenants, or tenants by the entirety.  Oklahoma Code §58-911-12; 60-74.

Oregon The following types of property ownership are recognized in Oregon: tenancy in common and tenancy by entirety. When two or more people own property together, they will automatically own as tenants in common, unless the deed states that they are joint tenants with rights of survivorship except in the case of husbands and wives, who will own as tenants by the entirety. A right of survivorship may be explicitly created in the deed. Oregon Code §93.120, .180.

Pennsylvania This state recognizes the following types of joint ownership: tenancy in common, joint tenancy, and tenancy by entirety. A grant of ownership to two or more people will create a tenancy in common, unless a joint tenancy with rights of survivorship is specifically created. In the case of a husband and wife owning property together, a tenancy by entirety is created by default. Pennsylvania Code §68-110.

Rhode Island When two or more people are granted real property, a tenancy in common is automatically created, unless the deed states that they are joint tenants with rights of survivorship. The following types of co-ownership are recognized in this state: tenancy in common, joint tenancy, and tenancy by entirety. Rhode Island Code §34-3-1, 2.

South Carolina South Carolina recognizes the following types of co-ownership: tenancy in common and joint tenancy. A grant of ownership of real estate to two or more persons will create, by default, a tenancy in common, unless the deed states that they are joint tenants with rights of survivorship, not tenants in common. South Carolina Common Law.

South Dakota Tenancy in common and joint tenancy are the recognized forms of co-ownership in South Dakota. When real estate is granted to two or more persons in this state, it automatically creates a tenancy in common, unless “joint tenants with rights of survivorship not tenants in common” is specifically stated in the deed. South Dakota Code §43-2-11 through 14.

Tennessee This state recognizes the following types of co-ownership of real property: tenancy in common, joint tenancy, and tenancy by entirety. A grant of ownership to two or more persons automatically creates a tenancy in common, unless “joint tenants with rights of survivorship not tenants in common” is expressly stated in the deed. Tennessee Code §66-1-102.

Texas Two or more persons owning property together in this state will automatically hold their title as tenants in common, unless a right of survivorship is expressly stated in the conveyance. In the case of a husband and wife, community property law applies, but the right of survivorship must be expressly stated. Texas recognizes the following types of co-ownership: tenancy in common, joint tenancy, and community property. Texas Prob. Code §46, 451; Fam. Code. §5.01 onward.

Utah This state recognizes the following types of co-ownership of real property: tenancy in common and joint tenancy. A grant of ownership of real estate to two or more persons is presumed to create a tenancy in common, unless a joint tenancy with rights of survivorship is explicitly created in the deed. Utah Code §57-1-2 onward.

Vermont The following types of co-ownership are recognized in Vermont: tenancy in common, joint tenancy, and tenancy by entirety. When two or more people own property together, they are presumed to own as tenants in common, unless a joint tenancy with rights of survivorship is created. In the case of a married couple, a tenancy by entirety is created. Vermont Code §27-2.

Virginia Tenancy in common, joint tenancy, and tenancy by entirety are recognized forms of co-ownership in Virginia. A grant of ownership of real estate to two or more persons will automatically create a tenancy in common, unless “joint tenants with rights of survivorship as at common law” is specifically created. Husband and wife owning property will own as tenants by entirety, unless “husband and wife, as tenants by the entirety as at common law” is stated in the deed or conveyance. Virginia Code §55-20, 21.

Washington Washington State recognizes the following types of co-ownership of real property: tenancy in common, joint tenancy, and community property. A grant of ownership of real estate to two or more persons will automatically create a tenancy in common, unless the deed or conveyance states that a joint tenancy with rights of survivorship is being created. In the case of husband and wife owning property together, the real estate is community property. Washington Code §26.16; 11.04.071; 64.28.010-.040.

West Virginia A grant of ownership of real estate in West Virginia to two or more persons will automatically create a tenancy in common, unless “joint tenants with rights of survivorship” is specifically created in the deed. This state recognizes tenancy in common and right of survivorship as forms of co-ownership. West Virginia Code §36-1-10 onward.

Wisconsin The following types of ownership are recognized in this state: tenancy in common, joint tenancy, and community property. A grant of ownership to two or more persons is presumed to create a tenancy in common, unless a joint tenancy with rights of survivorship is expressly created in the deed or conveyance. In the case of husband and wife, community property law applies to the real estate. Wisconsin Code §700.02 onward; 766.605.

Wyoming This state recognizes the following types of ownership: tenancy in common, joint tenancy, and tenancy by entirety. A grant of ownership of real estate to two or more persons will automatically create a tenancy by entirety, unless joint tenants with right of survivorship is expressly created in the deed. Wyoming Code §34-1-140.