Don't wait to the flurry of activity right before closing on your new home to decide how to hold title to the property you're purchasing. After you have an accepted contract on a home, consult with an experienced real estate attorney to determine which option is best for you and anyone else you are buying the property with. Title is the legal document that gives you ownership or evidence that you own a specific piece of land. Here are some common types of ways to hold title. Check with an attorney on variables in holding title by state. -Tenancy in common. When two or more persons own a piece of real estate. Each owns an undivided fractional interest. -Joint tenancy. When a property is owned by at least two people, and all have the right of survivorship, until only one person is left and that person takes sole ownership. Rights of survivorship in some states have been terminated. -Tenancy by the entirety. Created for married couples with full rights of survivorship. Each person has an undivided interest in the property. These tenancies can be terminated by death, divorce, legal judgment, or written agreement. -Severalty. One person holds title to a property. -Trusts. Ownership to real estate can be held in a trust. Control is transferred to a third-party for the benefit of the owner. -Cooperatives. The corporation who holds title to the land and structure delivers owners or shareholders stock in the specific units. Consult state laws for further information on cooperatives. -Ownership of real estate by businesses varies state by state, consult local laws for applicable information. -Verify that your title has been properly recorded after it has been delivered and accepted by you. |
