If you’re married and own property together, you might have heard the term “tenancy by the entirety.” It’s a special form of ownership that only applies to married couples (or in some places, civil partners). The big win? Both spouses own the whole thing together, and if one dies, the other automatically keeps 100% ownership without probate.
Think of it like a built‑in right of survivorship. Unlike joint tenancy, where each owner holds a specific share, tenancy by the entirety treats the property as a single unit owned by the “marriage” itself. That means you can’t sell, mortgage, or give away your half without your spouse’s consent. The law protects the property from creditors of just one spouse, too – a creditor can’t seize the house to settle one partner’s debt unless both are liable.
To set it up, the deed must state “tenancy by the entirety” and you must be legally married at the time of purchase. If you later divorce, the ownership automatically switches to joint tenancy or a split, depending on state law. The same shift happens if one spouse passes away – the surviving spouse becomes the sole owner instantly.
One of the biggest benefits is estate planning simplicity. Because the property doesn’t go through probate, the surviving spouse gets clear title right away, saving time and money. It also adds a layer of protection against individual creditors, which can be a safety net if one partner faces a lawsuit or financial trouble.
On the flip side, the joint control can feel restrictive. If you both want to refinance or sell, you need to agree. Some states don’t offer tenancy by the entirety for certain assets like personal property or investment accounts, so it’s mostly used for real estate.
Another downside is that the protection from creditors only applies to one spouse’s personal debts. If you both take out a loan together, that debt can still attach to the property.
Before you decide, check your state’s rules – not every state recognizes tenancy by the entirety, and the requirements can differ. Talking to a real‑estate attorney or a knowledgeable solicitor can help you understand if this ownership style fits your situation.
In short, tenancy by the entirety gives married couples automatic survivorship, creditor protection, and a smoother transfer of ownership when one spouse passes away. It also means you both have to stay on the same page for any major decisions about the property. If you value that built‑in partnership and want to avoid probate hassles, it’s worth considering for your home or other real‑estate investments.
Discover how married couples own property together, the legal types, implications for divorce, tax, inheritance, and real-world tips for avoiding pitfalls.