Tenancy by the entirety is similar to joint tenancy with the added protection that neither spouse can sell, transfer, or mortgage the property without the other spouse's consent. This provides protection from individual creditors—if only one spouse has a judgment or debt, creditors generally cannot force the sale of the property. Both spouses must agree to any transfer. The tenancy is automatically severed by divorce, typically converting to a tenancy in common.
A married couple owns their home as tenants by the entirety. When the husband incurs a business debt, creditors cannot place a lien on the home because the debt belongs to only one spouse. If the couple divorces, the tenancy by the entirety automatically converts to a tenancy in common.
Available ONLY to married couples (not all states recognize it). Key protection: individual creditors of one spouse cannot force sale. Neither spouse can act alone—both must consent to any transfer. Divorce converts to tenancy in common. Compare with joint tenancy where any owner can sever unilaterally.
Related Terms
Related Concepts
Real property is immovable land and anything permanently attached to it, while personal property (also called chattels) is movable.
Joint tenancy is a form of co-ownership in which two or more persons hold equal, undivided interests in property with the right of survivorship. When one joint tenant dies, their interest automatically passes to the surviving joint tenants.
Tenancy in common is a form of co-ownership in which two or more persons hold separate, undivided interests in property without the right of survivorship. Each owner can hold unequal shares and can independently transfer their interest.
Community property is a form of ownership recognized in certain states where property acquired during marriage is considered equally owned by both spouses, regardless of who earned the money or whose name is on the title.
Condominium ownership involves owning a unit of airspace within a multi-unit building plus an undivided interest in the common elements shared with other unit owners. Each unit is separately taxed and financed.
Frequently Asked Questions
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