Shared ownership in property occurs where two or more people own the same property at the same time. There are three types of shared concurrent ownership: tenancy in common, joint tenancy, and tenancy by the entirety.

The following chart describes the types of shared ownership recognized by each state in the Chicago Region and the applicable restrictions, if any, on the transfer of the shared ownership interest.

Note that while one owner cannot sell the entire property by themself, they usually can sell or transfer their own interest in the property without the consent of the other owners. The chart identifies those situations where transfer of an interest is restricted.

*In Indiana, in addition to consenting, the non-transferring spouse must join in the making of the transferring agreement. If the type of ownership is not specified in the real estate contract, assume that a tenancy by entirety was created. The Indiana code states that a written contract in which a married couple purchase real estate creates a tenancy by entirety, unless the contract expressly creates a tenancy in common, or unless it appears from the language in the contract that the contract was intended to create a tenancy in common.

*Ohio recognized tenancy by the entirety from February 9, 1972, to April 4, 1985. Therefore, tenancies by the entireties that were created between February 9, 1972, and April 4, 1985, continue to be valid. Tenancy by the entirety only exists in Ohio when the contract or deed specifically refers to it, e.g., “John and Jane Doe as tenants by the entirety.” It also applies only to real property, and must be conveyed by deed. While tenancy by entirety can still be created in Ohio, there are several unresolved questions. Cases involving this issue should be referred to ARC-MOS CRSI/SSI for resolution by the Office of General Counsel.

**Illinois has recognized tenancy by the entirety since October 1, 1990. Tenancy by the entirety is limited in Illinois to homestead property. Tenancy by the entirety can be severed only by a signed conveyance by both parties, the dissolution of the marriage, or the death of one or both of the parties. Upon judgment of dissolution or invalidity of the marriage, the estate, by operation of law, becomes a tenancy in common, unless and until a court directs otherwise.

*In Minnesota, a joint tenant generally has the right to unilaterally sever the joint tenancy, so long as one of the following is satisfied: (1) the instrument of severance is recorded in the office of the county recorder or the registrar of titles in the county where the real estate is situated; (2) the instrument of severance is executed by all of the joint tenants; (3) the severance is ordered by a court of competent jurisdiction; (4) a severance is effected pursuant to bankruptcy of a joint tenant; or (5) where the other joint tenant has detrimentally relied on its existence.

In Wisconsin, a spouse has an ownership interest in the home held solely in the name of the other spouse. If one spouse, who holds title in their name only, wishes to convey a clear title (i.e., sell or transfer the home) to someone other than the spouse, the other spouse would have to join in the conveyance, either directly or by other written consent. The same is true if the married couple held the home property by joint ownership.

Note that this restriction applies only to home property. A home, for the purposes of this restriction, is any shelter in which the individual or spouse has ownership interest and which is used by the individual or spouse as their principal place of residence, not to exceed 40 acres.

In cases where this restriction is found to apply and the value of the property causes the claimant to exceed the resource limit, obtain a SSA-795 from the spouse regarding consent.

Example A: Before their separation, Mr. and Mrs. Madison lived in a home in Wisconsin, which Mrs. Madison had inherited from her parents. The house is in Mrs. Madison's name only. Mrs. Madison is the sole titleholder.

Two years ago, Mrs. Madison left her husband. Mr. Madison continued to live in the house. This year Mr. Madison began receiving SSI. Mr. Madison does not hold title to the house and does not have the right to sell the house. The house, therefore, is not Mr. Madison's resource. Yet, Mr. Madison does have an ownership interest by virtue of the fact that Mrs. Madison is restricted from selling the property without Mr.Madison's joint conveyance. So, although Mr. Madison pays no rent and is not charged with support and maintenance for rent-free shelter because Mr. Madison has an ownership interest (SI 00830.600).

Mrs. Madison, now living in Chicago, applies for SSI presenting a copy of the deed, which shows Mrs. Madison is the sole owner of her former Wisconsin home. The deed contains no written restrictions against the sale of the property. However, Mrs. Madison also states that Mr. Madison is still living there and they have never been divorced. The sale of the property, therefore, is restricted by the need for Mr. Madison's joint conveyance or written consent to the sale. The FO must then contact Mr. Madison and obtain a signed SSA-795 statement as to whether Mr. Madison would cooperate in the sale. If cooperation can be obtained, Mrs. Madison can sell the property and it is a countable resource and its value must be determined.

Example B: Mr. and Mrs. Madison have switched places.

Mrs. Madison, the titleholder, is now living on her Wisconsin property. Since Mrs. Madison has home ownership, she is in an “A” living arrangement. Because the property is now Mrs. Madison's home, it is automatically excludable. There is no need to discuss the sale of the property.

Mr. Madison is now living in Chicago; does not hold title to the Wisconsin property; and unquestionably cannot sell it. It is not Mr. Madison's resource. Its value does not count towards Mr. Madison's resource limitation. There is no need to discuss the sale of the property.

Example C: In this example, Mr. and Mrs. Madison own the property jointly. Mrs. Madison lives on the property. Mr. Madison lives in Detroit. When Mr. Madison applies for SSI, Mr. Madison tells the FO that the Wisconsin property is owned jointly with Mrs. Madison (separated spouse) who lives on the property. The value of Mr. Madison's interest in the property could cause Mr. Madison to exceed the resource limit.

Under Wisconsin State law, Mr. Madison is free to convey his interest in the property to Mrs. Madison. Mr. Madison is not free to otherwise dispose of his interest without Mrs. Madison either joining in the conveyance or giving consent. The FO must contact Mrs. Madison and obtain a signed SSA-795 statement answering two questions: 1) Would Mrs. Madison consent to the sale of Mr. Madison's interest in the property to another party? 2) If Mrs. Madison would not giver her consent, would Mrs. Madison, if Mr. Madison made an offer, purchase Mr. Madison's interest in the property for its going value? Be sure to annotate the SSA-795: THIS IS NOT AN OFFER TO SELL; A “YES” RESPONSE, THEREFORE, DOES NOT CONSTITUTE ACCEPTANCE OF AN OFFER.

A “Yes” response to either question means that Mr. Madison's interest in the property is saleable and therefore, a countable resource. If both are answered negatively, Mr. Madison cannot sell his interest in the property. Therefore, it would not be a countable resource to Mr. Madison.

Ohio does not recognize technical joint tenancy as defined by the common law of property. Rather, Ohio recognizes joint ownership with the right of survival under contact principals. That is, the terms will be spelled out in the body of the contract or deed itself. In these cases, the contract or deed will refer to joint and survivorship ownership.

THERE IS NO REASON TO SUSPECT A JOINT TENANCY TYPE OF OWNERSHIP UNLESS THE CONTRACT OR DEED SAYS THAT THE SURVIVING OWNER(S) INHERITS THE DECEASED'S OWNERSHIP INTEREST WHEN ONE OWNER (TENANT) DIES. THAT IS, THE CONTRACT OR DEED MUST GRANT THE RIGHT OF SURVIVORSHIP TO THE OTHER OWNERS.

Where the Ohio version of joint tenancy applies, use the chart below to determine whether an individual can freely dispose of their ownership interest.

In Minnesota, both spouses have an ownership interest in homestead property, even if the property is held solely in the name of only one spouse. A homestead is defined as the house, owned and occupied as a dwelling place by at least one spouse, together with the land on which the house is situated. In the laid out or platted portions of a city, the property cannot exceed one half acre; elsewhere the property cannot exceed 160 acres.

To sell homestead property, both spouses' signatures on either a sales contract or a deed conveying the property are required. A spouse's consent to dispose of the homestead on a SSA-795 is not sufficient. Since neither spouse can legally dispose of their interest in the homestead, except in the manner described above, such interest does not constitute a countable resource.