Which form of co-ownership grants each owner an undivided share and allows heirs to inherit their share on death rather than passing to surviving owners?

• A. Joint Tenancy
• B. Tenancy in Common
• C. Real Property
• D. Gift Tax

Answer: (B)

Tenancy in common is the form of co-ownership that fits this description. In this arrangement each owner holds an undivided interest in the whole property, meaning no one has a specific, separate portion of the property tied to their ownership. Crucially, when an owner dies, their interest passes to their heirs or as dictated by their will, rather than automatically transferring to the other co-owners. This is different from the right-of-survivorship found in joint tenancy, where the surviving owners automatically receive the deceased owner’s share. Real property and gift tax are not forms of ownership; real property refers to the land itself, and gift tax deals with the taxation of transfers of wealth, not how ownership is held.