In 2026, the CPA TCP Exam is asking questions about joint tenancy and tenants in common.
Click to watch an actual video taken from the i75 TCP Exam on this new topic.
Co-ownership exists when two or more persons hold legal title to the same real property at the same time.
Each owner has an ownership interest in the property, but the nature of that interest depends on the form of ownership.
The two most common forms tested on the exam are Joint Tenancy and Tenancy in Common.
Joint Tenancy Basics
In joint tenancy, each owner must acquire their interest at the same time and from the same seller.
Each owner has an equal fractional interest and an equal right to use the property.
Example 1
A, B, and C own property as joint tenants. Each owns 1/3 of the property.
If A dies, B and C inherit A’s 1/3 share through right of survivorship, so B and C each own 1/2.
The incorrect answer would be that A’s heirs inherit A’s 1/3 interest. In joint tenancy, the last surviving joint tenant eventually owns 100 percent.
Example 2
A, B, and C own property as joint tenants. Each owns 1/3 of the property.
If A sells A’s interest to D, D is not a joint tenant with B and C because D did not acquire the interest at the same time and from the same seller as B and C.
B and C remain joint tenants with each other. D becomes a tenant in common with B and C.
If D dies, D’s heirs inherit D’s 1/3 interest.
Mixed Ownership Outcome
A, B, and C start as joint tenants, each owning 1/3. A sells to D, so D holds 1/3 as a tenant in common, while B and C remain joint tenants for their 1/3 interests.
If B dies, C inherits B’s 1/3 through survivorship and C now owns 2/3, while D still owns 1/3 as tenant in common.
If D dies, D’s heirs inherit D’s 1/3 as tenant in common with C.
If C then dies with no surviving joint tenant, C’s heirs inherit C’s 2/3 and become tenants in common with D’s heirs.