The change in ownership exclusion for a transfer of an interest in real property between cotenants that takes effect upon the death of one cotenant applies as long as all of the following are met:

• The transfer is solely by and between two individuals who together own 100% of the real property in joint tenancy or tenancy in common.

• As a result of the death of the transferor cotenant, the deceased cotenant’s interest in the real property is transferred to the surviving cotenant, resulting in the surviving cotenant owning 100% of the real property, and thereby terminating the cotenancy.

• For the one-year period immediately preceding the death of the transferor cotenant, both of the cotenants were owners of record.

• The real property was the principal residence of both cotenants immediately preceding the transferor cotenant’s death.

• For the one-year period immediately preceding the death of the transferor cotenant, both of the cotenants continuously resided in the real property.

• The surviving cotenant must sign, under penalty of perjury, an affidavit affirming that he or she continuously resided in the real property with the deceased cotenant for the one-year period immediately preceding the date of death.

Submission Deadline:
None; however, the death of the cotenant must be on or after January 1, 2013.