PSI Oklahoma Real Estate Practice Test

When two or more parties share ownership in property without having rights of survivorship, this is known as?

1. Tenancy in Common

2. Joint Tenancy

3. Partition

4. Trust Ownership

The correct answer is: Tenancy in Common

When two or more parties share ownership in property without having rights of survivorship, this arrangement is defined as Tenancy in Common. In this type of ownership, each co-owner holds a separate and distinct share of the property, and there are no rights of survivorship. This means that if one co-owner dies, their share of the property does not automatically pass to the other co-owners; instead, it can be inherited by their heirs or passed according to their will. This form of ownership allows for different proportions of interest among the co-owners. Each tenant in common can transfer or sell their interest independently, and this flexibility is one of the defining features of this arrangement. This contrasts with Joint Tenancy, where co-owners have equal shares and rights of survivorship, meaning that upon the death of one tenant, their share automatically passes to the remaining joint tenants. Understanding these distinctions is vital in real estate practice, as it informs how the property can be managed, sold, or transferred, and it also addresses concerns about inheritance and property rights among owners.