How to Hold Title on a Deed

When purchasing property in New York, one of the decisions you must make is how to hold title — that is, how ownership will be recorded on the deed. This decision has significant legal, tax, and estate planning implications.

Sole Ownership

One individual owns the property entirely. Upon death, the property passes through the owner's estate (subject to probate unless otherwise planned).

Tenancy in Common

Two or more people own the property, each with a distinct share. Shares can be unequal and can be sold, transferred, or willed independently. There is no right of survivorship — upon death, the deceased owner's share passes to their estate.

Joint Tenancy with Right of Survivorship

Two or more people own equal shares. Upon the death of one owner, their share automatically passes to the surviving owner(s). This avoids probate for the property.

Tenancy by the Entirety

Available only to married couples. Both spouses own the entire property together. Upon the death of one spouse, the surviving spouse automatically inherits the full property. This form provides protection from the creditors of only one spouse.

Important Considerations

• The way you hold title affects estate taxes, capital gains taxes, and asset protection
• Changing the way title is held after purchase can have tax consequences
• Adding someone to the deed is legally a transfer (gift) and may trigger gift tax reporting
• Consult with both your attorney and accountant before deciding

Contact Huang & Associates, P.C. for guidance on the best way to hold title to your property.