Homeownership that’s right for you
Secure a home you love with a TIC loan.
What is Tenants in Common (TIC)?
TICs are multi-unit buildings, like larger homes divided for multiple tenants, that are operated under a TIC agreement. The agreement is a contract that allows a person to own a percentage of the title with “exclusive rights” to a particular unit and other amenities, like parking, outbuildings, and yard space. This agreement also details house rules and restrictions.
TIC loans from RCU
We are one of the few institutions in the Bay Area providing TIC loans. We offer:
Competitive Rates
We can help you afford your home with rates and terms that fit your budget.
Quick process
With local TIC loan experts, we can close your purchase in as little as 21 days.
Flexible financing options
Financing options and loan amounts up to $2m to help you meet your individual goals.
Is TIC right for you?
TICs can be a more affordable avenue to homeownership than a condo, townhouse, or single-family home. They can also be a great option for friends or family members that want to share the cost of ownership.
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Condo: The property is divided into physical parts and each unit has its own public record, and each owner has a deed that outlines which unit is theirs. Typically, a person only owns the inside of the unit and homeowners’ association fees cover common areas and the exterior.
TIC: With a TIC, the property is divided into percentages (including the external part of the property), but the property is recorded publicly as one dwelling instead of individual dwellings. The TIC agreement outlines how the property will be divided and who is responsible for what. The agreement, however, is not recorded in county real estate records.
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Instead of having a deed to the property, TIC owners have a TIC agreement, which protects each owner and specifies ownership percentages and responsibilities. Agreements can include:
- Each owner’s financial obligations (mortgage payments, taxes, maintenance)
- Courtesy agreements (if pets are allowed, noise regulations, etc.)
- How the property will be divided
- Property maintenance and management
- What to do in the event of a TIC owner selling their share, or an owner death or bankruptcy
- How the group will resolve disputes
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There can be tax benefits, we recommend you meet with your CPA to learn more.
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Yes! And the resale market has been holding strong. TIC agreements often give the other tenants in common the right to approve or decline the new owner.
Not sure what you need to buy your next home?
From many home loan options for your unique needs and resources dedicated to helping you succeed in your journey, our team is here to help.
Have a question?
If you have questions about any part of the home buying process, our mortgage experts are here to help. Schedule an appointment or give us a call at 1 (800) 609-9009.
We’re here to fund your every need
Unique ownership opportunities call for unique loan types.
TIC Rates
Looking for additional mortgage rates? Our team is here to help. Contact us to learn about all our home loan options.
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Rates are effective November 21, 2024 and are subject to change without notice.
1Certain restrictions may apply. Maximum Combined Loan to Value (CLTV) for above products owner-occupied is 95%, and for investment properties it is 80%.
Rates shown above are based on the following scenario: single unit property, primary residence, non-manufactured, 60% CLTV, and 760+ credit. Rates can vary based on loan scenario. RCU mortgages are available for CA properties only. ARM rates are subject to periodic adjustments after loan closing, per the terms of the note.
Payment examples provided do not include taxes or insurance, actual amounts may be greater.
Non-Closing cost product requires a minimum balance of $200,000, and includes a potential savings of $2,600 in closing costs.
Contact Us
Schedule an appointment
Meet with a mortgage specialist to choose what’s right for your needs.
PPP Forgiveness Application Deadline
Congress passed The Economic Aid Act which changed the deferment period from 6 months post covered period to 10 months post covered period. For example, if your covered period ended June 30, 2021, under the new guidelines the earliest your first loan payment wouldn’t be due until April 2022, and you have until then to request forgiveness. Please use the following calculation to help you identify when your forgiveness will be due:
- PPP borrowers may select a covered period anywhere from 8 weeks to 24 weeks.
- RCU is automatically calculating your loan due date based on a 24-week covered period, if you intend on using a shorter covered period please inform us immediately as this will impact your due date.
- Your correct deadline will be reflected in your online banking account.
If all or part of your PPP loan is not forgiven, your first loan payment will be due the first of the following month after a decision is made by the SBA.
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