If you’re a first-time buyer new to real estate, you’ve probably come across the term TIC. In real estate terms, TIC stands for tenants in common, or tenancy in common. A TIC is a way for two or more people to jointly purchase real estate and take title to that property, without having right of survivorship
TIC, or “Tenants in Common.” It refers to an arrangement where two or more people co- own real estate without the right of survivorship. For example, two friends, Fred and Alice, who pool their money and buy a house together— they each own an agreed-upon percentage of the property.
TIC ownership in Southern California, is most often used to refer to a special arrangement that allows individuals to own a unit in a building before that building converts to a condo and it’s often the easiest way for first-time buyers to own a home.
How co-owners live in a TIC building—including who owns each portion of the building—is governed by a contract: the TIC agreement. This agreement substitutes for an individual properly deed and condominium by-laws and its importance is critical.
TIC is often the easiest way for renters, or first-time buyers, to purchase property. It’s been popular in San Francisco since the 1970’s and we are proud to bring TIC ownership to the Los Angeles market.