Tenancy in common is another type of concurrent ownership (estate) through which two owners can own a property at the same time. Through this tenancy, there is no ‘right of survivorship’ involved. This type of tenancy is mostly common among two business partners who are not married, or related (even though sometimes that can be the case). The two owners in a tenancy in common, are usually referred to as ‘tenants in common.’

In a tenancy in common, the property remains undivided. This means that both people involved will have full access to the entire property while each owns a part of it. The two most common areas where a person can see a tenancy in common is in real estate and within joint bank accounts. The main difference between a tenancy in common over a joint tenancy is that when one of the owners is deceased, they can determine (by a predetermined will or document) how to distribute the property. 

Unlike a joint tenancy, where the property is automatically given to the surviving owner, in this tenancy, the property can be dispersed to another owner(s) or sold and the assets distributed to who was named in the will or document. Also, in a tenancy in common, both parties are entitled to the use of that property equally even if the interest put into that property wasn’t the same.

When two or more people want to share ownership of a piece of property for any reason, but don’t hold a relationship where they would want the property to be handed over to the other holder/holders in case of his or her death, they commit to a tenancy in common. This is mostly seen among friends, business partners, or in the case of a boyfriend and girlfriend prior to marriage. This entitles each person to have their individual part, and also control what they do with it at the time of their death. 

Speaking in the case of a real estate property, two people can purchase a home and rent it out as a form of added income. They own the property as tenants in common and can collect the rent, and split the payments in half evenly. Should they choose to mutually sell the property, then the property can be sold and the profits made will be evenly split in half and given to each owner (pending the amount they put into the property). Tenancy in common is a way to share a property with someone but not devote the entire property to that person in case of death, and for people that don’t have serious or intimate relationships, or relation to the other person. It is an effective way to invest in property with someone for profit, when one alone doesn’t have the interest alone to do so.

There are several forms of concurrent ownership of property. These include the main three known as tenancy in common, tenancy in entirety, and joint tenancy, along with a fourth addition to be discussed, community property. These types of ownerships all refer to a property being owned by more than one person and equally shared (all pending any prior agreements haven’t changed the ownership details).

Tenancy in Common refers to a kind of ownership where two owners simultaneously share ownership of a property. This form of dual ownership holds the property undivided, promoting full access to both owners regardless of the amount of interest offered by either owner. Tenancy in common is usually undertaken by individuals involved in investment or business deals. When one of the owners passes away, ownership is either distributed to an owner’s family member or sold to an uninvolved party. In the latter situation, the proceeds are transferred to whomever the deceased owner designated.

Joint Tenancy with Right of Survivorship A joint tenancy is a type of ownership that allows two people to own a property at the same time. The ownership of the property is given equally to both parties with undivided, equal interests over the property. This type of tenancy is common among married couples due to the fact that it involves right of survivorship. Right of survivorship grants a surviving owner, should the other owner die, the entire property and its assets of the deceased owner. Both parties in a joint tenancy have equal responsibilities over that property with its positive entitlements, as well as liabilities. Joint tenancy can help avoid probate, or similar issues at the time of death of an owner. 

Tenancy by the entirety requires one specific aspect for eligibility that some forms of concurrent ownership do not, and that is marriage. In this tenancy, both parties must be husband and wife. Some of the states allowing same sex unions have amended tenancy by the entirety property laws to include individuals of the same sex that are married to take part in this type of tenancy. In this tenancy, one owner cannot act individually over the other, meaning one cannot sell or give away their share of the property without consenting the other. Tenancy by the entirety cannot be cancelled through partition filed by either owner against the other. 

Community property is only available in ten states in the United States, and not all of them offer it by default. It is a type of concurrent ownership that entitles a spouse ownership over any property obtained during marriage by the other, designated as community property. This goes for most of the property, but not all, since the items kept separately are known as separate property. Community property does not include gifts and inheritances of an individual spouse. In the case of a divorce or annulment, community property is usually divided equally, and some states require it by legal mandate. The items that are in community property can be divided equally by amount or by value.