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Multiple Choice

A common interest property is owned as which type of ownership?

In a common-interest property like a condo or planned development, each owner holds their own unit in fee simple, while the shared spaces (the common elements) are owned by all owners together as tenants in common. This means every owner has an undivided, but identifiable, interest in the common areas, and there is no right of survivorship—if someone dies, their interest passes to their heirs or according to their will. Joint tenancy would include a survivorship feature that automatically transfers a deceased co-owner’s share to the remaining owners, which doesn’t fit the typical structure of common-interest developments. Community property with right of survivorship applies to spouses and isn’t the form used for multiple owners in these properties. So the correct form is ownership as tenants in common.

In a common-interest property like a condo or planned development, each owner holds their own unit in fee simple, while the shared spaces (the common elements) are owned by all owners together as tenants in common. This means every owner has an undivided, but identifiable, interest in the common areas, and there is no right of survivorship—if someone dies, their interest passes to their heirs or according to their will. Joint tenancy would include a survivorship feature that automatically transfers a deceased co-owner’s share to the remaining owners, which doesn’t fit the typical structure of common-interest developments. Community property with right of survivorship applies to spouses and isn’t the form used for multiple owners in these properties. So the correct form is ownership as tenants in common.