What Does Tenants in Common Mean?
Tenants in common (TIC) refer to two people who each have ownership of a portion of the same real property. They often own equal portions; however, this is not always the case. In addition, each is responsible for their proportional share of expenses, including real estate taxes and insurance. Similarly, they are also entitled to a share of any income the property produces as well.
Insuranceopedia Explains Tenants in Common
An example of tenants in common would be 10 people who each own one-tenth of a 100-acre plot of land in Montana. Each has the right to sell their share of the land, if desired, to other tenants in common or other people as well. Even though a tenant in common may only own a percentage of the whole property, all tenants in common can use the whole property while they are partial owners. Lastly, because the property share goes to the tenant in common's estate upon their death, it differs from a joint tenancy, in which it goes to the surviving tenant.