What is tenancy in common in SAP RE - Real Estate Management?

SAP Term: tenancy in common

• Component: RE

• Component Name: Real Estate Management

• Description: Under German law, an ownership structure whereby co-owners of a single property are free to dispose of their specified fractional share of the property independently of the other party. In section 1 of the land register, it is noted that this is a case of tenancy in common.

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• Key Concepts: 
  Tenancy in common is a type of ownership of real estate in which two or more people own the property together. Each owner has an undivided interest in the property, meaning that each owner has the right to use and possess the entire property, not just a specific portion. Tenancy in common does not require that each owner have an equal share of the property; each owner can own a different percentage of the property. 
  
  How to Use it: 
  In SAP Real Estate Management, tenancy in common is used to manage multiple owners of a single property. The system allows users to assign different ownership percentages to each owner, and to track payments and other financial information related to the property. The system also allows users to track any changes in ownership over time, such as when one owner sells their interest in the property. 
  
  Tips & Tricks: 
  When setting up tenancy in common in SAP Real Estate Management, it is important to ensure that all owners are accurately represented and that all ownership percentages are correct. It is also important to keep track of any changes in ownership over time, as this can affect the financial information associated with the property. 
  
  Related Information: 
  For more information on tenancy in common and how it is used in SAP Real Estate Management, please refer to the SAP Help documentation.