Ontario Mortgage Agent Practice Exam

What distinguishes joint tenancy from tenancy in common?

1. Joint tenancy allows for individual property sales

2. Tenancy in common involves co-ownership of undivided interest

3. Joint tenancy involves divided shares of a property

4. Tenancy in common grants exclusive property ownership

The correct answer is: Tenancy in common involves co-ownership of undivided interest

Joint tenancy and tenancy in common are both forms of co-ownership of a property. However, in joint tenancy, each co-owner has an equal and undivided interest in the property. This means that all co-owners have the right to use and possess the entire property. On the other hand, tenancy in common also involves co-ownership, but the interest in the property is divided among the co-owners. This means that each co-owner has a specific and distinct portion of the property that they exclusively own. Therefore, option B is correct as it accurately states that tenancy in common involves co-ownership of undivided interest. Options A, C, and D are incorrect because they do not fully explain the distinction between joint tenancy and tenancy in common.