Tenancy in common (TIC) versus traditional condominiums

TICs are far less common in LA than condos, which affects financing and resale

If you’re weighing a TIC against a condo, the two ownership structures can look similar but work very differently once you dig into financing, resale, and how much say you have over your own unit. Here’s a side-by-side breakdown of what each one actually means for you as an owner.

Own it Outright

Condo

You own your individual unit outright, with its own deed and parcel number. Common areas are shared with the other owners.

PROS

  • Standard financing. You get your own mortgage at conventional rates.
  • Familiar to buyers, lenders, and appraisers.
  • Larger resale pool.
  • Your loan and property taxes are yours alone.

CONS

  • HOA dues and rules
  • Often a higher price than a comparable TIC.

Shared Ownership

Tenancy In Common (TIC)

Multiple owners hold a shared, undivided interest in one property under a single deed. A written TIC agreement gives you the exclusive right to occupy a specific unit.

PROS

  • Often a lower entry price for a similar location. 
  • Access to buildings never legally converted to condos.

CONS

  • Financing is harder. Fractional loans exist but come from fewer lenders, sometimes at higher rates.
  • Smaller resale pool, since TICs are uncommon here.
  • Your rights depend heavily on the TIC agreement and group decisions.
  • Fewer comparable sales to guide pricing.

In short

Which One Fits Your Situation?

Condos offer simpler financing and resale. TICs can offer a lower price point, with more complexity and a narrower buyer pool when you sell.

Connect with me

Weighing a TIC or a Condo?

If you’re deciding between the two, let’s talk through the financing, the building, and what it means for resale down the road.

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Leah Guerra · Broker Associate · Compass Brentwood, Los Angeles

Leah Guerra, Esq.

Leah Guerra is a Brentwood, Los Angeles broker associate focused on thoughtful strategy, strong outcomes, and client-first decisions.

Leah Guerra · Broker Associate · Compass ·DRE #01907093.