Mary and Paul are married and living in a home that they purchased shortly after their marriage approximately three years ago. Title to the property is in their names as joint tenants. Mary needs some money to make certain purchases and they both decide that Mary can obtain a loan from the bank and give the bank a mortgage over her share of the home as security for the loan. This will amount to

Question

Quizplus · Accepted Answer

Giving the bank a mortgage over Mary's share of the home severs the joint tenancy, meaning that Mary and Paul now hold the property as tenants in common. This means that each of them owns a distinct share of the property and can sell or mortgage their share without requiring the consent of the other.

Mary and Paul Are Married and Living in a Home