Texas Crammer Practice Exam

Which of the following best describes "tenants in common" ownership?

1. Equal ownership shares

2. Right of survivorship

3. Independently transferable shares

4. Shared decision-making over property

The correct answer is: Independently transferable shares

"Tenants in common" ownership is characterized by independently transferable shares. In this type of ownership, each co-owner has a distinct and separate share of the property, which can be sold, transferred, or inherited independently of the other owners. This means that if one tenant decides to sell their portion, they can do so without requiring the consent of the other tenants. Additionally, in tenants in common arrangements, shares do not need to be equal; one party may own a larger share than another. There is also no right of survivorship, meaning if one co-owner passes away, their share does not go directly to the other co-owners but can instead be passed on according to their will or the laws of inheritance. This independent nature of ownership and transferability is what differentiates tenants in common from other forms of co-ownership, such as joint tenancy, which includes the right of survivorship.