How Easy Is It To Sell A TIC Property?
Selling a TIC (Tenants in Common) property can be more challenging than selling a traditional property because of the complexities involved. TIC ownership allows multiple owners to own a portion of a property, and each owner has the right to occupy and use their respective share of the property.
Here are some of the factors that can make selling a TIC property more challenging:
- Co-ownership: Since multiple owners share ownership of the property, all owners must agree to sell the property. If one owner is not willing to sell, it can complicate the process.
- Financing: Obtaining financing for a TIC property can be more difficult because it's not a standard mortgage. Lenders may have specific requirements for TIC loans, and interest rates may be higher.
- Valuation: Valuing a TIC property can be tricky because it's not a traditional sale. The value of each owner's share of the property is based on their percentage of ownership, and it may be challenging to determine a fair price.
- Marketing: TIC properties may have a smaller pool of potential buyers, which can make marketing the property more challenging.
Overall, selling a TIC property requires careful planning, communication, and coordination among the owners. It's important to work with experienced professionals, such as a real estate agent and attorney, who have expertise in TIC ownership to ensure a smooth and successful transaction. 1031 Exchange Place can help you with all the challenges that come with selling your share of a TIC property.
We'd love to guide you through the 1031 process, let us know how we can help!