When purchasing a home jointly with one or more persons, prospective landlords should explore the different types of tenancy agreements that are available to them. This will help to better assist them in determining which tenancy is most appropriate to suit their needs.
● Joint Tenancy
This type of ownership agreement is one that provides all persons listed on the title with equal shares of the property. In this type of arrangement, all parties who possess shares in the property are required to authorize any changes that are to be made involving the property. This involves the leasing or sale of the property.
● Tenants in Common
With this type of tenancy agreement, each owner owns a specific percentage of the property and is allowed to sell their portion at any point in time. In the event that one of the owner passes away before selling their share, then their share of the property will pass on to the named person in their will. For properties with joint ownership, Property Management in Denver would be able to properly advise on the most appropriate actions to suit each type of tenancy.
● Limited Liability Company
This type of arrangement is one that is suited for a business property. Though the business might have one or two owners, the title of the property would actually be in the business’ name. The nature of a limited liability company is one that allows for the separation of business assets from personal assets.