Florida Real Estate Sales Associate Examination Content OutlineReal Estate Property and OwnershipMedium
A married couple in Florida wants to purchase an investment property and ensure that if one spouse dies, the surviving spouse automatically inherits the deceased spouse's share without the need for probate. Which form of concurrent ownership should their real estate agent recommend?
- APartnership interest.
- BJoint tenancy with right of survivorship.
- CTenancy by the entirety.
- DTenancy in common.
Show answer & explanationAnswer & explanation
Correct answer: C. Tenancy by the entirety.
In Florida, tenancy by the entirety is the preferred form of concurrent ownership for married couples who wish to ensure the right of survivorship and protection from individual creditors. It automatically transfers full ownership to the surviving spouse without probate.
Why the other options are wrong
- A. A partnership interest is for business entities, not typically for residential or investment property ownership by a married couple for survivorship purposes.
- B. Joint tenancy with right of survivorship offers survivorship but is not exclusive to married couples and offers less creditor protection than tenancy by the entirety in Florida.
- D. Tenancy in common does not include the right of survivorship; the deceased's share goes to their heirs.
Tenancy by the Entirety
A special form of concurrent ownership exclusively for married couples, characterized by the 'four unities' plus the unity of marriage, and an automatic right of survivorship. In Florida, it also offers strong creditor protection.
- Only for married couples.
- Right of survivorship.
- Creditor protection (in Florida).
- Requires the 'five unities'.
Memory trick: J.T. and T.C. are friends, but T.E. is for 'Two' (married) people.