Preserving the Interest in the Matrimonial Home in Ontario

Question:

Susan and Jim get married and buy their first home. Jim’s parents are brought onto the title to co-sign. Now, 4 people are now on title for the Susan’s and Jim’s matrimonial home: Susan, Jim, and Jim’s parents.

A few years later, Susan and Jim decide they want to sell the matrimonial home, move their family to the country, and buy Jim’s grandfather’s home. 

Only 3 people will be going on title to Jim’s grandfather’s home: Jim’s  parents, and Jim.

Q: #1-Does wife, Susan have any claim on the matrimonial home? 
Q: #2-Does Susan have any risk NOT being on title to the matrimonial home?

Answer:

Susan has a “property” interest in the first property. She now will only have a “possessory” interest in the second property. If Jim dies, that means she gets to live there for 60 days. That’s not good. There is a deemed severance of any joint tenancy with third parties on Jim’s death, but that merely means that his interest will go to his estate, not necessarily to Susan. So, Susan is not protected at all, in this scenario.

Brian Madigan LL.B., Broker

www.OntarioRealEstateSource.com

Leave a Reply

Your email address will not be published. Required fields are marked *