New York Real Estate Salesperson ExaminationProperty OwnershipMedium
A New York couple owns their primary residence as tenants by the entirety. They decide to divorce. What happens to their form of ownership upon the finalization of the divorce decree?
- AThe property is immediately partitioned by the court.
- BIt automatically converts to a tenancy in common.
- CIt remains tenants by the entirety until one party sells their interest.
- DIt automatically converts to a joint tenancy.
Show answer & explanationAnswer & explanation
Correct answer: B. It automatically converts to a tenancy in common.
In New York, a tenancy by the entirety is specifically for married couples. Upon divorce, the 'unity of marriage' is broken, and the ownership automatically converts to a tenancy in common, allowing each former spouse to sell or will their individual share.
Why the other options are wrong
- A. Partition is a legal action that divides co-owned property, but the conversion to tenancy in common happens automatically upon divorce, before any potential partition.
- C. Tenancy by the entirety is dissolved by divorce; it cannot remain in that form after the marital bond is severed.
- D. Joint tenancy requires the four unities (PITT) and the right of survivorship, which is not automatically created upon divorce from a tenancy by the entirety.
Tenancy by the Entirety (Divorce)
In New York, a form of co-ownership exclusively for married couples with the right of survivorship. Upon divorce, this ownership automatically converts to a tenancy in common.
- Exclusive to married couples
- Includes right of survivorship
- Terminated by divorce, converting to tenancy in common
Memory trick: Divorce 'Splits the Whole' into separate, equal parts.