Can a TIC agreement be signed electronically?

Yes. Electronic signatures are generally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and retention can be demonstrated.

Do I need a notary or witnesses?

Deeds typically require notarization for recording; witness requirements vary by state. Check the county recorder’s rules before recording to ensure compliance.

Should the TIC agreement be recorded?

TIC agreements are private contracts; recording is not always required but recording deeds reflecting ownership changes is recommended to protect title and notify third parties.

What happens if an owner dies?

Survivorship depends on title type. TIC interests pass by will or intestacy unless alternative transfer mechanisms are stated; include clear transfer and buyout provisions to avoid probate delays.

Do lenders need a copy of the agreement?

Yes—lenders may require copies and lender consent for transfers; failing to obtain consent can breach loan covenants and trigger acceleration.

How do I resolve co-owner disputes?

Follow dispute procedures in the agreement—mediation then arbitration is common. Specify governing law and fee-shifting rules to limit litigation costs.

Electronic Signature
Templates
Real estate
TIC Real Estate Agreement

TIC Real Estate Agreement

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TIC REAL ESTATE AGREEMENT

Parties

Seller (Grantor) Seller Address Buyer (Purchaser / New TIC Co-Owner) Buyer Address

Agreement Date and Recitals

This Tenancy-in-Common Real Estate Agreement ("Agreement") is entered into on by and between Seller and Buyer identified above.

Seller agrees to convey, and Buyer agrees to acquire, an undivided tenancy-in-common interest in the Property described below, subject to the terms, conditions, covenants and contingencies set forth in this Agreement.

Property Identification

Property Street Address Parcel / APN Number Legal Description

Purchase and Financial Terms

Purchase Price: $ payable as set forth below.

Earnest Money (Deposit)

Deposit to be held by:

Financing Contingency: Buyer shall obtain financing under terms acceptable to Buyer within . If Buyer fails to obtain financing by such date, Seller may terminate this Agreement or retain deposit as provided herein.

Inspection Period: Buyer shall have days from receipt of acceptance to complete inspections. Inspection Completion Deadline: .

Closing Date: . Possession Date: .

Title, Encumbrances and HOA

Title to be conveyed by grant deed subject to standard exceptions and the following known exceptions:

Closing Costs: Seller and Buyer shall pay customary closing costs as follows: Seller: ; Buyer: .

Homeowners Association

TIC-Specific Terms

Undivided Interest to be acquired by Buyer: of the whole property.

Allocation of Shared Expenses (taxes, insurance, utilities, repairs):

Management and Maintenance

Insurance Requirement: Co-owners shall maintain property and liability insurance naming each co-owner as an insured or additional insured as determined by co-ownership agreement.

Mortgages and Encumbrances: Any mortgage or encumbrance placed by a co-owner must be declared in writing to other co-owners and shall be the sole responsibility of the encumbrancing co-owner unless otherwise agreed in writing.

Disclosures

Lead-Based Paint (if constructed prior to applicable date): Yes No

Known Mold, Water Intrusion or Material Structural Damage: Yes No If Yes, describe:

Prior Material Repairs or Insurance Claims: Yes No If Yes, describe:

Default, Remedies and Indemnity

If Buyer defaults in performance, Seller may retain earnest money as liquidated damages or seek specific performance or other remedies at law or in equity. If Seller defaults, Buyer may pursue deposit recovery and damages. Prevailing party in any action to enforce this Agreement shall be entitled to recover reasonable attorneys' fees and costs.

Indemnity: Each party agrees to indemnify and hold the other harmless from claims arising out of that party's breach of representations, warranties or covenants under this Agreement, including reasonable attorneys' fees and costs of defense.

Governing Law; Miscellaneous

Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the state where the Property is located.

Entire Agreement: This Agreement, together with any attached exhibits and the co-ownership agreement to be executed by the co-owners, constitutes the entire agreement between the parties and supersedes all prior negotiations and agreements. No amendment shall be effective unless in writing signed by both parties.

Severability: If any provision is found unenforceable, the remaining provisions shall remain in full force and effect.

Notices

Seller Notice Address Buyer Notice Address

Acknowledgments

Each party represents and warrants that it has the full legal right, authority and capacity to enter into this Agreement, that the person signing on behalf of any entity is authorized to do so, and that this Agreement is binding and enforceable in accordance with its terms.

Seller Printed Name:

By:

Date:

Buyer Printed Name:

By:

Date:

What a TIC Real Estate Agreement Is

A TIC Real Estate Agreement (Tenancy in Common agreement) is a private contract used when two or more parties own undivided fractional interests in real property. The agreement records each co-owner’s percentage share, rights to use and occupy, cost-sharing for taxes and maintenance, transfer and sale restrictions, and procedures for resolving disputes or buying out a co-owner. A TIC agreement governs the relationship among owners and complements deeds, mortgages, and title insurance rather than replacing them.

Why a Clear TIC Agreement Matters

A well-drafted TIC Real Estate Agreement reduces uncertainty among co-owners by documenting ownership shares, expense allocation, transfer rules, and dispute resolution; it protects title marketability and clarifies tax and estate consequences under state property law.

Who Typically Prepares and Signs a TIC Agreement

Typical parties include individual investors, families, and business entities that share ownership of residential or commercial property.

Individual investors pooling capital for shared ownership and income generation.
Families or estate planners dividing ownership for succession and probate planning.
LLCs, partnerships, or property managers overseeing joint ownership operations.

Professionals involved are often real estate attorneys, title companies, and brokers who help ensure the agreement aligns with recording, financing, and tax obligations.

Core Elements to Include in a Professional TIC Agreement

A complete TIC Real Estate Agreement addresses ownership, management, financial responsibilities, transfer mechanics, dispute resolution, and exit processes to reduce future conflicts and support title clearance.

Ownership Shares

Specify each party’s fractional interest as a percentage or fraction, how shares may change, and how ownership units are evidenced for title and tax reporting.

Use & Occupancy

Define rights to occupy or lease the property, any exclusive-use allocations, guest policies, and rules for renting individual portions or the whole property.

Expenses & Contributions

Set expense allocation for taxes, insurance, utilities, maintenance, and capital improvements, including timing for contributions and remedies for delinquent owners.

Transfer Restrictions

Include right-of-first-refusal, approval thresholds, notice requirements, permitted transfers to family or entities, and consequences for unauthorized sales.

Buy-Sell Procedures

Establish valuation methods, trigger events for buyouts (death, bankruptcy, default), payment terms, and escrow or closing mechanics for transfers.

Dispute Resolution

Provide mediation/arbitration steps, governing law, fee allocation for disputes, and procedures for appointment of receivers or managers if necessary.

Step-by-Step: Completing a TIC Agreement

Follow these sequential steps from planning through execution to minimize legal and transactional risk.

01

Gather Parties: Identify owners, lenders, and interested third parties.
02

Draft Terms: Document shares, costs, transfers, and dispute rules.
03

Review with Counsel: Have a real estate attorney and title company review.
04

Execute and Exchange: Sign, notarize if required, and distribute final copies.

How to Configure an Online TIC Agreement Workflow

Set up an electronic workflow to route the TIC agreement for review, signature, and secure storage while preserving an audit trail.

Field	Online Setting
Upload Template	Use PDF or DOCX; preserve page layout.
Place Fields	Add signature, date, and initials fields.
Signer Roles	Assign signer order and specify guest or account signers.
Authentication	Require email or SMS code for signer verification.

Digital Signing and Integration Requirements

Choose a platform that supports required file formats, audit trails, and integrations with your title and accounting systems.

File Formats: PDF and DOCX accepted for upload.
CRM & ERP: Integrations with Salesforce, NetSuite, Google Workspace.
Authentication: Email, SMS code, or stronger MFA options.

Where to File and Which Parties Should Receive Copies

A TIC Agreement is typically executed among co-owners; distribution and recording depend on whether ownership interests change or deeds are conveyed.

County Recorder: Record deeds when ownership interests are transferred.
Title Company: Provide final agreement to support title insurance underwriting.
Lenders: Deliver copies if loans encumber the property.
Property Manager: Share operating rules and contact information.

Typical Timing and Processing Expectations

Timing for closing, recording, and notices varies by county and by contract terms; plan for local processing times and lender review.

Effective Date:

Agreement date when obligations commence; set explicitly.

Closing:

Coordinate closing date with lender and escrow timelines.

Recording:

Record deeds promptly after transfer; county timing varies.

Notice of Transfer:

Provide co-owners and title insurer immediate written notice.

Document Retention:

Retain executed agreement according to recordkeeping rules.

Common Pitfalls When Preparing a TIC Agreement

Failing to record a transfer or unclear property description that later clouds title and complicates sales or financing.
Omitting lender consent or neglecting to notify mortgage holders, which can trigger acceleration or default under loan covenants.
Vague expense-sharing clauses that lead to disputes over repairs, taxes, and capital improvements among co-owners.
Not specifying buyout valuation method, resulting in litigation or inequitable forced sales when a co-owner exits.

Risks and Consequences of an Incorrect TIC Agreement

Title Risk: Unrecorded or vague instruments can cloud title and hinder sale or refinance.

Mortgage Default: Failure to notify lenders may violate loan covenants.

Tax Exposure: Incorrect ownership reporting can trigger IRS adjustments or backup withholding.

Probate Complications: Poorly drafted transfer-on-death terms may increase probate costs.

Contract Damages: Breaches of expense or buyout clauses may result in monetary liability.

Enforcement Costs: Disputes often require costly litigation or arbitration to resolve.

eSignature Platform Comparison for TIC Real Estate Agreements

Compare core pricing and features for signing TIC documents electronically. signNow is listed first per vendor comparison conventions.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial, no credit card required	No	No	Yes, limited	Yes, limited
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Frequently Asked Questions About TIC Real Estate Agreements

Answers to common execution, recording, and enforcement questions for TIC agreements with practical guidance on signatures, notarization, and e-signing.

Need help? Contact support

Can a TIC agreement be signed electronically?
Yes. Electronic signatures are generally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and retention can be demonstrated.
Do I need a notary or witnesses?
Deeds typically require notarization for recording; witness requirements vary by state. Check the county recorder’s rules before recording to ensure compliance.
Should the TIC agreement be recorded?
TIC agreements are private contracts; recording is not always required but recording deeds reflecting ownership changes is recommended to protect title and notify third parties.
What happens if an owner dies?
Survivorship depends on title type. TIC interests pass by will or intestacy unless alternative transfer mechanisms are stated; include clear transfer and buyout provisions to avoid probate delays.
Do lenders need a copy of the agreement?
Yes—lenders may require copies and lender consent for transfers; failing to obtain consent can breach loan covenants and trigger acceleration.
How do I resolve co-owner disputes?
Follow dispute procedures in the agreement—mediation then arbitration is common. Specify governing law and fee-shifting rules to limit litigation costs.

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