Community Property states

Click here for a list of community property states, and what it means to live in a community property state.

Common Ways of Holding Title

How title is vested has important legal consequences, so this is not intended to be any kind of advise. It is only general information, and may or may not be altogether true and/or complete for your particular State or situation. You may wish to consult an attorney to determine the most advantageous form of ownership for your particular situation.

Because real property has become increasingly more valuable, the question of how parties take ownership of their property has gained greater importance. The form of ownership taken - the vesting of title - will determine who may sign various documents involving the property and future rights of the parties to the transaction. These rights involve such matters as real property taxes, income taxes, inheritance and gift taxes, transferability of title and exposure to creditor's claims. Also, how title is vested can have significant probate implications in the event of death.

Buyers may wish to consult legal counsel to determine the most advantageous form of ownership for their particular situation, especially in cases of multiple owners of a single property.

Following are 3 links to get descriptions of some of the different ways to take title.

Below these links, is a copy of one of them

How to take Title.
Pacific Northwest Title Company

How to take Title including corporations, partnerships and trusts.
Mutual Abstract Company

Another explanation on how to take Title from a California Title Company.
Cal Land 

Common Methods Of Holding Title

Sole Ownership
Sole ownership may be described as ownership by an individual or other entity capable of acquiring title. Examples of common vesting in cases of sole ownership are:

1. A Single Man/Woman: A man or woman who has not been legally married. For example: Bruce Buyer, a single man.
2. An Unmarried Man/Woman: A man or woman who was previously married and is now legally divorced. For example: Sally Seller, an unmarried woman.
3. A Married Man/Woman as his/her Sole and Separate Property: A married man or woman who wishes to acquire title in his or her name alone.

If you are married, then it may be required to have the spouse of the married man or woman acquiring title to specifically disclaim or relinquish his or her right, title and interest to the property. This establishes that it is the desire of both spouses that title to the property is granted to one spouse as that spouse's sole and separate property. For example: Bruce Buyer, a married man, as his sole and separate property.

==========================

Co-Ownership

Title to property owned by two or more persons may be vested in the following forms:

1. Joint Tenancy: A form of vesting title to property owned by two or more persons, who may or may not be married, in equal interest, subject to the right of survivorship in the surviving joint tenant(s). Title must have been acquired at the same time, by the same conveyance, and the document must expressly declare the intention to create a joint tenancy estate. When a joint tenant dies, title to the property is automatically conveyed by operation of law to the surviving joint tenant(s). Therefore, joint tenancy property is not subject to disposition by will. For example: Bruce Buyer and Barbara Buyer, husband and wife as joint tenants.

2. Tenancy in Common: A form of vesting title to property owned by any two or more individuals in undivided fractional interests. These fractional interests may be unequal in quantity or duration and may arise at different times. Each tenant in common owns a share of the property, is entitled to a comparable portion of the income from the property and must bear an equivalent share of expenses. Each co-tenant may sell, lease or will to his/her heir that share of the property belonging to him/her. For example: Bruce Buyer, a single man, as to an undivided 3/4 interest and Penny Purchaser, a single woman, as to an undivided 1/4 interest, as tenants in common.

Other ways of vesting title include as:

1. Corporation: A corporation is a legal entity, created under state law, consisting of one or more shareholders but regarded under law as having an existence and personality separate from such shareholders.
2. A partnership: A partnership is an association of two or more persons who can carry on business for profit as co-owners, as governed by the Uniform Partnership Act. A partnership may hold title to real property in the name of the partnership.
3. **A Trust: A trust is an arrangement whereby legal title to property is transferred by the grantor to a person called a trustee, to be held and managed by that person for the benefit of the people specified in the trust agreement, called the beneficiaries.

**In cases of corporate, partnership or trust ownership, you may be required in future transfers, to furnish legal documents so that it may satisfy itself as to ownership rights of the parties to the transaction and any limitations which may exist on the sale, transfer or encumbrance of the property.

Required documents may include corporate articles and bylaws, certificates of partnership and trust agreements.

Remember: How title is vested has important legal consequences. You may wish to consult an attorney to determine the most advantageous form of ownership for your particular situation.
==========================