Over the years real estate investment has proved to be more lucrative than any other kind of investment. The best thing about real estate that differentiates it from investments like mutual funds and stocks is that one can live in it. One can also rent the investment property. By doing this one can not only pay the mortgage and insurance but also maintain a positive cash flow from them. Renting the property helps cover both the cost of the property as well as generate income from it.

Although real estate investment offers such a rewarding prospect, many people are daunted by the idea of real estate investment. This is because of the complex process of property management. For those who want to avoid the hassles and yet are interested in real estate investment, Tenants in Common property is the perfect solution. This kind of property lessens the headache of a property owner to a great extent. Also known as the tenancy in common, it allows the investor to hold only a fraction of the total value of the investment. This is quite a viable and appealing choice for those whose capital sum is not much. By this process people can hold a part of a valuable property without paying the total amount of the property which would be quite high. One can also invest in various properties through this process and the investment is also smaller in amount. The other advantage of tenancy in common is that one doesn't have to bear with all the complexities and burdens which come with sole proprietorship. In short one can get all the benefits that are generally associated with real estate investment without having to be a sole proprietor and bearing with all the intricacies that accompany it as well as one doesn't have to invest a huge amount for an access to the ownership of a promising property.

Like other investments tenancy in common also has risks to it. However, it also has a great potential to generate substantial cash flow. The revenue generated by giving such property on lease not only covers the mortgage and the insurance but also reaps huge benefits for the owner. One can easily avoid the usual duties that a landlord has to perform. If someone is looking to enjoy the benefits of 1031 exchange then the tenants in common is the best option.