Business and Personal Finance Dictionary

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• FOUR UNITIES
  
  Four "unities" are required to create a joint tenancy: 1. Unity of possession - all joint tenants holding an undivided right to possession. 2. Unity of interest - all joint tenants holding equal ownership interests. 3. Unity of time - all joint tenants acquiring their interests at the same time. 4. Unity of title - all joint tenants acquiring their interests by the same document. The four unities are present when the following requirements are met: Title is acquired by one deed. The deed is executed and delivered at one time. The deed conveys equal interests to all of the parties. The parties hold undivided possession of the property as joint tenants. Because the unities must be satisfied, many states require the use of an intermediary when a sole owner wishes to create a joint tenancy with another party(ies). The owner conveys the property to a nominee, or straw man. Then the nominee conveys it back, naming all the parties as joint tenants in the deed. As a result, all the joint tenants acquire title at the same time by one deed.
  
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