TENANCY BY THE ENTIRETY
The final form of holding title under Illinois law is a hybrid of joint tenancy that is reserved only to married couples and provides extra protection to marital property. The form requires the "four unities" of joint possession plus a fifth: marriage, must be present to hold title in this manner.
This method of holding title has all the benefits of joint tenancy in that the survivor of the first owner to die will take title to the entire property outside of probate, but it also includes the additional benefit of protecting the property from some creditors. A home held as "tenants by the entirety" may only be reached by creditors of joint debts of a husband and wife. In the case of non-joint debts of a husband and wife, the property may not be partitioned, sold, or encumbered without the permission of both spouses. Further, neither spouse may convey their half interest without the consent of the other.
The courts of the State of Illinois have determined that specific terminology must be employed to create this form of tenancy. The deed must indicate that the parties are married and specify the exact words creating the tenancy. A typical grantee clause in a deed would look like this: "to John Doe and Jane Doe, his wife, not as tenants in common, nor as joint tenants with the right of survivorship, but as TENANTS BY THE ENTIRETY."
This is a community property state, and everything we own is community property.
without any tax implications or going into probate. For us, this was the best solution.
