Claudia Insider · SF Real Estate · 2026
Understanding TICs
Your guide to tenancy in common ownership in San Francisco
Claudia Insider · SF Real Estate · 2026
Your guide to tenancy in common ownership in San Francisco
TICs are one of the most common (and most misunderstood) ownership types in San Francisco. I put this guide together because I kept having the same conversation with buyers: "Wait, it's not a condo? What does that actually mean for me?" This is the answer to that question. No jargon, no fluff, just what you need to know.
Tenancy in common (also called TIC or co-tenancy) is a form of co-ownership where two or more people each own a share of a single property — without a "right of survivorship." In plain English: you and the other owners each hold your own deed to a fractional interest in the building, and you each have exclusive rights to your specific unit.
Think of it this way: you're buying a unit in a multi-unit building, just like you would with a condo. You live in your space, you decorate your space, you pay your own mortgage. The difference is how the ownership is structured on paper.
TICs emerged in the mid-1980s across California (mainly LA, Berkeley, and SF) and have become an increasingly popular option for buyers who want the personal feel of a condo or single-family home at a more accessible price point. They fill a real gap — especially in markets like ours where housing inventory is tight and prices are high.
Most TICs in San Francisco are what's called a Space-Assignment Co-Ownership (SACO): each owner gets exclusive rights to occupy a specific unit in the building. That's the kind we're talking about throughout this guide.
There are other flavors — time-assignment co-ownerships (like fractional vacation homes) and investment syndicates — but those aren't what you'll be looking at when you're searching for your first home in SF.
A TIC property lets you own a unit (or in rare cases, a house on a shared lot) in a multi-unit building at a more affordable price than a comparable condo. You co-own the entire lot with the other owner(s), but you have exclusive rights to your unit — just like a condo.
Here's the structure:
Each TIC owner holds a fractional interest in the property while having exclusive rights to their specific unit. You can take title any way you choose and deed your property to heirs, just like a single-family home or condo.
A TIC Agreement (TICA) governs the co-ownership: it outlines responsibilities, shared expenses, maintenance duties, and care of shared spaces like rooftops, garages, and hallways.
Instead of one deed for the whole building, there are multiple deeds — one for each owner. The property is not subdivided, which means there's one APN (assessor's parcel number) and one property tax bill, which is typically split based on each owner's purchase price.
TICs require fractional home loans offered by specialized lenders. These function similarly to traditional mortgages — each owner has an independent mortgage, separate from the other co-owners, giving you full control over the resale of your unit.
San Francisco's housing stock is full of Victorian and Edwardian buildings, multi-unit properties, and buildings that were originally designed as separate residences. These properties naturally lend themselves to shared ownership structures because each household can occupy a distinct unit while sharing ownership of the underlying property.
Local lenders, attorneys, title companies, and agents have built specialized systems around TIC ownership over the past few decades, making these transactions more feasible and more common. The result: TICs are a normal, well-established part of the SF real estate landscape — not some niche workaround.
For a lot of my buyers, a TIC is the way they get into a neighborhood they love at a price that actually makes sense. And once you understand how it works, it's really not that different from buying a condo.
This is the comparison everyone asks for. The short version: they're more alike than you'd think.
| TIC | Condo | |
|---|---|---|
| Price | Typically 10–20% lower than comparable condos; 30–40% lower than single-family homes | Market rate — generally higher than a comparable TIC unit |
| Loans | Fractional TIC loans from specialized lenders; rates typically 0.25–0.75% higher than conventional | Conventional mortgage from any lender |
| Title & Taxes | Shared title, one APN, one property tax bill (split among owners) | Individual title, separate APN and property tax bill |
| Equity | Owners build wealth together — property appreciates as a whole | Each owner builds equity individually |
| HOA Dues | Both collect dues for common area expenses and maintenance; mutual liability if one owner doesn't pay | Same structure |
| Decisions | Group decisions per the TICA; regular meetings | HOA board decisions; regular meetings |
| Risk | Each owner holds a fractional loan for their share — if one owner defaults, others are not affected | Individual loans — no cross-default risk |
| Resale | Can be bought, sold, and refinanced; buyer pool is somewhat smaller but growing | Larger buyer pool; broader financing options |
| Renting | Subject to SF rent control if you rent out your unit (check the TICA for rental restrictions) | Generally not subject to rent control |
| Tax Benefits | Same deductions and perks as any homeowner | Same |
| Legal | Unique legal elements exist, but no more complex than owning a condo overall | Standard ownership structure |
The biggest practical differences: TICs are more affordable, use specialized lenders (with slightly higher rates), and share a property tax bill. Day to day? Living in a well-structured TIC feels a lot like living in a condo.
This is where TICs feel the most "different" from a traditional purchase — but it's really just about knowing which lenders to talk to.
When you buy a TIC, you're applying for a fractional loan for your share of the whole property. You are only responsible for your loan, and your loan will not be affected if another co-owner defaults on theirs. Each mortgage involves a note signed only by the owner of that particular TIC interest, secured by a deed of trust covering only that interest.
Application: Must use a specialized lender that offers TIC loans — not every bank does this. I work with several TIC-experienced lenders and can connect you.
Buyer requirements: Slightly stricter than conventional — expect stronger credit, reserves, and down payment requirements compared to a standard condo loan.
Loan types: 30-year fixed and ARM (adjustable rate) options are both available.
Rates: Typically 0.25–0.75% higher than comparable condo loans. ARM TIC loans are widely available and can be a smart tool depending on your plans.
The key thing to know: always evaluate the financial strength of the other group members, even if financing is individual. A well-maintained building with financially stable co-owners is a healthier investment for everyone.
Most modern TICs use individual (fractional) financing — each owner has their own separate mortgage. This is the standard and what you'll likely encounter.
Older TICs sometimes have blanket financing, where all owners share a single mortgage. This is less common now but worth understanding: with blanket financing, if one owner can't pay, it can affect everyone. If you're looking at a TIC with blanket financing, we'd want to dig deeper into the loan terms and co-owner financials.
The TICA is the document that makes a TIC work. It's the co-ownership rulebook — covering everything from who pays for what to how decisions get made. Not all TICAs are created equal, which is why having a TIC-experienced attorney review (or draft) it is one of the most important steps in the process.
If a TICA already exists, your attorney should review it thoroughly. If one needs to be created, the most efficient approach is for the group to hire a single experienced TIC attorney to draft it, and then each owner has their own attorney review it independently.
The TICA is one of the first things I look at when evaluating a TIC listing. A well-drafted, up-to-date agreement tells me a lot about how the building is managed and whether the owners are on the same page. If a TICA is thin or outdated, that's not a dealbreaker — but it's a conversation we'd want to have early.
When we're evaluating a TIC together, these are the categories I'm digging into on your behalf. You don't need to memorize this list — that's my job — but it helps to know what we're looking at.
The process of selling a TIC is often more straightforward than sellers expect. The market has matured significantly — there's a growing pool of TIC-savvy buyers, expanded financing options, and much greater familiarity with the ownership structure than even five years ago.
That said, your buyer pool will be somewhat narrower than a comparable condo's. The key is positioning your property effectively and reaching the right audience — buyers who are actively searching for TICs and understand the benefits.
Like any home sale, preparation, pricing, and marketing are everything. The ownership structure is just one part of the story — and for the right buyer, it's actually the selling point.
Every TIC property is unique. If you're considering buying or selling a TIC, I can help you evaluate financing, review the ownership structure, and understand the opportunities and considerations of a specific property.
Hi, I'm Claudia
Every TIC is its own little building with its own rulebook, and the right time to get into the details is once we're working together, not after an offer is already on the table. A free 20-minute chat is where that starts. Buying, selling, or just curious, I'm happy to walk through what a TIC would actually look like for you.
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