Estates in Land and Co-Ownership: Fee Simple, Life Estates, Joint Tenancy

Fee simple absolute

The fee simple absolute “is the ultimate property interest in land, held without limitation.” It “grants its owner all traditional property rights, is of unlimited duration, and is free from limitation” (Wex). Most homeowners hold a fee simple, subject to mortgages, taxes, zoning and easements.

Life estates

A life estate “is an interest in property that lasts only for the life of a specific person, usually the possessor of the estate” (Wex). When the measuring life ends, the property passes to the holder of the remainder. Life estates are often used in estate planning, for example to let a surviving spouse live in a home that later passes to children.

Joint tenancy and tenancy in common

• Joint tenancy: “each owner has an undivided interest in the property,” with “a right of survivorship, which means that when one owner dies, the other owners absorb the deceased owner’s interest.”
• Tenancy in common: usually “no right of survivorship”; the shares “may be of unequal size, and can be freely transferred.”
• Tenancy by the entirety: in states that recognize it, a form of ownership available only to married couples, often with protection from one spouse’s creditors.

The words of the deed decide which form applies. If the deed is unclear, many states presume a tenancy in common.

Allodial title

Allodial land is, in the words of Black’s Law Dictionary, “Land held absolutely in one’s own right, and not of any lord or superior; land not subject to feudal duties or burdens.” Some state constitutions use the term. Wisconsin’s says “All lands within the state are declared to be allodial, and feudal tenures are prohibited” (Wis. Const. art. I, § 14), and Minnesota’s says “All lands within the state are allodial and feudal tenures of every description with all their incidents are prohibited” (Minn. Const. art. I, § 15). These provisions abolished feudal tenures; they did not exempt land from property tax. The Washington Attorney General concluded in 1996 that a recorded declaration of “allodial freehold” “is ineffective to exempt the real estate from property taxes.” Nevada once created a statutory allodial-title program for owner-occupied homes (NRS 361.900–.920).

Researching estates in land in your state

To research estates in land for a real matter, start with the primary sources. For example, read the statute, the rule and the documents in your own file. Then look for recent appellate decisions from your state, because they control how local courts read the law. After that, compare what you found with the federal rules that may also apply. Our state procedures guide and the Research Center can help you find and check each source.

Sources and further reading

Official sources used on this page:

• law.cornell.edu
• law.cornell.edu
• law.cornell.edu
• revisor.mn.gov
• atg.wa.gov

Related reading on Lawtopolis:

• Real Property and Personal Property
• Deeds and Recording Acts: Warranty Deeds, Quitclaim Deeds and Race-Notice Rules
• Adverse Possession and Easements