Which type of ownership involves two or more owners holding an undivided fractional interest in the same property?

The type of ownership that involves two or more owners holding an undivided fractional interest in the same property is known as Tenants in Common. In this arrangement, each owner has a distinct, yet undivided interest in the property. This means that while they share ownership, each individual has the right to use and enjoy the entire property, not just a specific portion of it.

Tenants in Common can own different percentages of the property, and there is no right of survivorship in this type of ownership. This distinguishes it from Joint Tenancy, where co-owners have equal shares and the right of survivorship, meaning that upon the death of one owner, their share automatically passes to the remaining owners.

Understanding Tenants in Common is important because it reflects a more flexible form of co-ownership that is often used in estate planning, property investment, and shared ownership situations. This ownership structure also allows for individual owners to sell or transfer their interest independently, further showcasing its distinguishing characteristics.