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Tenants in common agreement
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| Description |
Price |
| Tenants in common agreement |
POA |
What is a tenants in common agreement?
A tenants in common (TIC) agreement outlines the terms and conditions relating to the ownership of real property that is owned as tenants in common. A TIC agreement can provide certainty in situations such as where one co-owner wants to sell at a price that the other co-owner does not agree to. The TIC agreement has a process to overcome deadlocks and disputes in arriving at fair market value.
Our TIC agreement package covers, amongst other things, death, disablement, compulsory and voluntary sales.
TIC Agreements and SMSFs
It is increasingly common for SMSF trustees to hold property with others to increase the funds available to invest and to minimise risk. An SMSF trustee will usually hold a part interest in real estate as tenants in common with the other co‑owners. However, it is important that each SMSF trustee is aware of the pros and cons of co-investment and the consequences that may arise when things don’t go as planned or if a disposal or exit from a jointly held investment is needed. A TIC is recommended to place the relationship at arm’s length and provide greater certainty to minimise the risk of costly and protracted disputes.
What’s included
- Covering letter
- Trustee resolutions
- Tenants in common agreement
- Tenants in Common Memo
For more information and related articles
For more information on the benefits of this type of agreement, click on the article listed below:
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