Mature couple discussing relationship changes and their real estate transaction

How Relationship Changes Affect Real Estate Transactions

Feb 18, 2026 Realtor Resources Share:

People get married, divorced, and die every day. And when those life events intersect with property ownership, real estate transactions get complicated in a hurry.

Death, divorce, and marriage can each affect who has the legal authority to sell or transfer property, which means they affect title. And while these situations come up regularly, no two are exactly alike. A transaction involving a deceased spouse on the primary residence looks very different from one involving a deceased co-owner of an investment property. A straightforward divorce can get complicated the moment you look at what the decree actually says.

Hailey Gross, a title professional with Title Insurance Company, a South Oak brand in Dayton, Tennessee, has seen it all in her 28 years in the industry. "It doesn’t matter how long you’ve been doing this,” she says. “Every day and every situation is different.”

Agents don't need to know how to resolve every title complication that comes with a relationship change, but they do need to know when to ask questions and to pass what they learn on to the title company. The earlier that communication happens, the better the chances of keeping a transaction on track.

Why Relationship Changes Complicate Real Estate Transactions

When someone dies, divorces, or marries, determining who has the legal authority to sign documents and transfer property becomes more complex. A widow who seemed to have full ownership rights may actually need probate documents. A person who "got the house" in a divorce may still need their ex-spouse to sign off on the sale. Two unmarried buyers who assume they're purchasing a home together may find only one name on the deed.

Title companies approach these situations with verification requirements that don't always match what clients expect based on their understanding of the situation. Where a seller might say "my husband died five years ago," underwriters need to see a death certificate, determine how the property was titled, and confirm whether probate is required. When a client says "she got the house in the divorce," underwriters need to review the actual decree to determine whether the other spouse is entitled to proceeds or still has obligations.

"Agents don't think about it from an underwriter standpoint the way that we think about it," Gross explains. When information isn't provided upfront, title companies have to discover these details through investigation, which takes time and raises the risk of delays.

Death and Estate Transactions

The complexity of an estate transaction depends entirely on how the property was titled and what the deceased owner left behind. In the simplest scenario, a primary residence owned by spouses as joint tenants transfers to the surviving spouse with only a death certificate.

"Sometimes with a death, it's straightforward," Gross explains. "If it's a primary residence, they’re titled together as husband and wife, and one of them dies, all we need is a death certificate. With proof of death, the title transfers to the surviving spouse. But if it isn’t a primary residence or the spouse was never on the title, it gets more complicated.” In these situations, a death certificate is just the starting point.

These situations are more complicated because the death certificate only confirms that someone died. It doesn't prove who has the legal right to sell the property. That requires additional documentation, such as wills, probate records, affidavits of heirship, or court orders establishing who inherited. Each of these documents takes time to obtain, and some require court proceedings that can stretch for months. When title companies don't know about a death until the title exam comes back, they've already lost valuable time in a transaction that likely has a 30-day closing window.

Investigative work can compound timeline issues. Title companies often find themselves tracking down obituaries, searching for heirs, verifying family relationships, and determining whether heirship affidavit claims are legitimate.

Real estate agents should never assume death situations are straightforward, even with longtime clients in seemingly simple circumstances. Spouses don't automatically inherit in all situations, and early disclosure gives the title company time to work through whatever requirements the situation demands.

Divorce Transactions

Divorce creates its own set of title complications, starting with the fact that a finalized divorce doesn't automatically change who appears on title. Both parties remain on the deed until additional steps are taken, which means title companies need to verify what is required by the divorce decree.

Those requirements vary widely. Some decrees transfer full ownership to one spouse and require the other to sign a deed relinquishing their interest. Others split proceeds from a future sale according to specific percentages or payment schedules. Still others include ongoing obligations where one spouse continues paying the mortgage until a certain date or event. Without reviewing the actual decree language, there's no way to know what the transaction requires.

"A lot of times people say they're divorced and one spouse gets the house," Gross explains. "But then when we look at the actual divorce decree itself, there's wording in there that one party's going to continue to pay the mortgage until a certain date, or they're going to get a specific amount out of the sale."

What clients tell their agents is often what they genuinely believe to be true based on their understanding of the divorce settlement. The problem is that divorce decrees contain layers of detail that don't come up in casual conversation.

A seller might say "she got the house in the divorce" without mentioning that the decree entitles the ex-spouse to $50,000 from the sale proceeds. An agent working with that information assumes one signature closes the deal, when in reality, the title company needs to coordinate with both parties and structure the closing to comply with court orders.

Timing creates additional complications. Buyers sometimes purchase property while separated but before their divorce is finalized, which raises questions about how to take title and how lenders will view the situation. The straightforward transaction an agent expects can quickly become something that requires careful coordination between the title company, lender, and both parties to structure correctly.

Marriage and Purchase Transactions

How buyers take title to property in a real estate purchase matters more than most people realize, and relationship status plays a significant role in determining the options available.

Unmarried couples purchasing together can take title as tenants in common, which means each person owns a separate share that passes to their heirs if they die. They can also take title as tenants in common with right of survivorship, which functions more like married ownership where the surviving partner automatically inherits the other's share. The difference between these two approaches has profound legal and financial consequences, but buyers often don't understand they have choices until someone asks.

The risks of getting vesting wrong become clear in situations where assumptions replace clear communication. Gross worked with a couple planning to marry who purchased a home together. Only one person appeared on the contract and took title as an unmarried individual. After closing, they married. When he died, she discovered she didn't legally own the house she'd been living in as her primary residence.

Because her name wasn't on the deed, the property had to go through probate to determine his heirs. This process was entirely preventable if vesting had been addressed clearly at the contract stage; however, the title company could only work with the information provided.

"She was understandably very upset," Gross recalls. "But we have to go by what's on the contract and the information we're given by the buyer. Her name wasn't on there, so we couldn't legally add her to the deed."

Agents should ask buyers direct questions about their relationship status and plans. Is the buyer married or planning to marry? If unmarried but purchasing together, how do they want to take title? If only one person qualifies for the loan, do both want to be on the deed? These conversations need to happen early because vesting can't be easily changed after closing without additional legal work and expense.

Clear Communication Surrounding Relationship Changes

Your title company can work through complicated situations and minimize the risk of closing delays when they know about them from the start. The investigative work, document collection, and verification processes all take time, but that time can be built into the transaction timeline if the information comes in with the contract. Waiting until the title exam returns means losing days or weeks that could have been spent clearing requirements.

"We always tell our agents, whatever you've been told, whether you feel like it's insignificant or not, go ahead and let us know ahead of time," Gross says. "That's going to keep the ball rolling. That's not going to be a surprise when you get the title back."

Agents should communicate any situation where one person is signing, but two appear on title, any mention of death, divorce, or marriage related to the property, and any detail that raises questions, even minor ones. Seasoned agents develop an instinct for these red flags. Newer agents are still building that awareness, but the learning curve shortens when the default approach is to share everything and let the title company sort out what matters.

Red Flags that Require Immediate Communication With the Title Company

  • Two people on the prior deed but one person signing the contract
  • Client mentions a deceased spouse or owner
  • Client mentions divorce or separation
  • Client is uncertain about who's on title
  • Estate or inherited property
  • Non-primary residence being sold by a surviving spouse
  • Unmarried buyers purchasing together
  • Buyer purchasing during divorce proceedings

The partnership between agents and title companies works best when information flows early and often. Title companies don't charge extra for early disclosure, and they'd rather answer questions at the contract stage than discover surprises a week before closing. What seems like a minor detail to an agent might be exactly the information the title company needs to start working through requirements. When in doubt, share it. The title company will let you know if it matters, and if it does, you've just saved your transaction valuable time.

Relationship changes in real estate transactions are common, but they're never cookie-cutter. Each death, divorce, and marriage brings its own set of circumstances that affect title in different ways. Agents don't need to know how to resolve every complication that arises, but they do need to recognize when these situations exist and communicate what they know as early as possible.

The role agents play is straightforward: be the communication bridge between clients and the title company. Share everything you know as soon as you know it. Ask questions when details seem unclear. Pass along information even when it seems insignificant. This simple practice protects closing timelines, prevents delays, and serves clients well.

"Each situation is unique," Gross says. "With each one, there comes a whole other set of questions and concerns. But mainly, we try to teach our agents that whatever you know, whether you think it's important or not, let us know."

Agents don't need all the answers. They need to ask the right questions and communicate what they learn. The partnership between agents and title companies works when both sides stay in close contact, especially when transactions involve the complications that come with life's relationship changes.

If you have questions about how relationship changes affect your transactions or need guidance on a specific situation, contact your local South Oak or Title Insurance Company office. We're here to help you navigate these complexities and get your clients to closing. Ready to get started? Order a title or schedule a closing with South Oak today.

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