Massachusetts Real Estate License Practice Test

Which ownership type provides both spouses equal undivided interest in the whole property?

1. Tenancy in Common

2. Joint Tenancy

3. Tenancy by the Entirety

4. Community Property

The correct answer is: Tenancy by the Entirety

The ownership type that provides both spouses with equal undivided interest in the whole property is Tenancy by the Entirety. This form of ownership is specific to married couples and recognizes their unique relationship concerning the property. Under Tenancy by the Entirety, both spouses have a joint interest in the entire property, meaning neither can sell or transfer their interest without the consent of the other. This type of ownership also offers protections against creditors, as the property cannot be individually claimed by the creditors of one spouse. In contrast, Tenancy in Common allows for fractional interests in the property that can be owned in unequal shares, and each owner can independently transfer their interest. Joint Tenancy includes the right of survivorship, which means if one spouse dies, their ownership automatically passes to the other spouse, but it doesn't provide the same level of protection as Tenancy by the Entirety. Community Property typically applies in certain states and refers to property acquired during the marriage, which is considered equally owned, but it does not inherently provide the same undivided interest as Tenancy by the Entirety does.