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Tenants In Common Explained

A tenants in common is an investment in a single large commercial investment property by multiple property owners, not as limited partners, but as individual property owners. Each property owner receives an individual deed at closing for his or her undivided percentage interest in the entire investment property. A tenants in common exchange qualifies as a 1031 exchange according the IRC section 1031. IRC Section 1031 allows for the reinvestment of proceeds into any like kind investment property or investment properties. Tenants In Common exchanges forgo any economic gains taxes that may have been realized from such a sale. A qualified TIC advisor can help explain your options with investing in a tenants in common.

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