Tenancy In Common


DEFINITION of 'Tenancy In Common'

A way for two or more people to have equal ownership interests in a property. Each owner has the right to leave his or her share of the property to any beneficiary upon the owner's death. Each party (owner) in a tenancy-in-common agreement has the right to use the property even if the physical size of the stake is different.

BREAKING DOWN 'Tenancy In Common'

It is important to understand that tenancy in common is different than joint tenancy because the transfer of the property to a beneficiary in the event of an owner's death is different in each case. In a joint tenancy agreement, the title of the property is passed to the surviving owner, while in a tenancy-in-common agreement, the title can be passed to a beneficiary of the owner's choosing.

  1. Real Estate

    Land plus anything on it, including buildings and natural resources.
  2. Co-Owner

    An individual or group that shares ownership in an asset with ...
  3. Estate Planning

    The collection of preparation tasks that serve to manage an individual's ...
  4. Total Cost Of Ownership - TCO

    The purchase price of an asset plus the costs of operation. When ...
  5. Personal Property

    A type of property which, in its most general definition, can ...
  6. Beneficiary

    Anybody who gains an advantage and/or profits from something. ...
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