How to Hold Property As Tenants in Common

Owning property as tenants in common is becoming increasingly popular. It means two or more people own property at the same time without a "right of survivorship," so each person can choose who inherits his ownership percentage after he dies. Tenants-in-common property ownership is simple to set up, but first you should research the options for holding property and the pros and cons of the tenants-in- common approach.

Instructions

1. Investigate your options in property ownership. The common forms of property ownership include joint tenancy, tenancy in the entirety, sole ownership, community property and tenants in common.

2. Ensure you understand fully the legalities of owning property as tenants in common. For example, tenants in common, who usually are not married, can own unequal shares of the property, enabling flexibility. Another positive is that when one tenant in common dies, his interest in the property passes to his heirs, who then become new tenants in common with the living tenants in common. A negative of tenancy in common is that one owner can insist on the sale of the property even when the others do not wish to sell.

3. Make certain the property deed records "(Name), (Name) and (Name) as tenants in common." You can have two to more than 100 tenants in common.

References

• Sirkin & Associates: Tenancy in Common (TIC) Frequently Asked Questions
• Best Way to Hold Real Estate
• What are Some of the Common Forms of Property Ownership?