NMLS #657755

Henry Jeanes

Henry is a 24-year mortgage industry professional with an 18-year specialization in Tenancy-in-Common TIC financing in California. Prior to joining PRMI, Henry was an Assistant VP / Regional Sales Manager for Sterling Bank & Trust for 15 years, and a TIC Financing Specialist at Meriwest Credit Union for 3 years. Henry represented some of the very first fractional Tenants-in-Common (TIC) financing programs in San Francisco starting in 2007. Over the last 7 years, Henry has been engaged in the rapid growth of the Los Angeles TIC market, and has seen it introduce a new style of affordable housing options across the Los Angeles real estate market. As a trailblazer in this space, Henry has created public awareness from the ground up through real estate outreach campaigns, speaking events, and one-on-one meetings with influential developers and realtors. Prior to working for Sterling Henry worked for Countrywide Financial, Waterfield Financial, and several mortgage Brokerages in Fort Collins CO where he initially served as a Mortgage Consultant in 2002. Over the course of the last 24 years, Henry has excelled at building rapport and winning trust from customers quickly, understand their situation, and finding them the best lending solutions possible.

Tenancy in Common (TIC) Ownership & Financing Overview

What is a TIC?

TIC stands for Tenancy-in-Common. As applied to residential property, it can be used as a legal arrangement that allows exclusive-use ownership percentages to be established within multi-unit buildings. Tenancy-in-Common effectively creates undivided ownership interests within a real property and ensures owners retain full inheritance/survivorship rights to their ownership interest as they would with single-family/condo property types.

What is a TIC Agreement?

A detailed written agreement – TIC Agreement (TICA) – conveys all the usage rights and obligations of the community TIC members and grants the contractual rights of each owner to their exclusive interests within the community, including parking, decks, yards, storage, etc. The TIC Agreement addresses the management of financial affairs for the community as well as the legal protections for financial institutions who provide Fractional TIC mortgages.

How does Fractional TIC financing work?

Fractional, or individual, mortgages allow for an independent mortgage on each undivided interest and are secured by a Deed of Trust covering only that ownership interest. Fractional financing allows each owner within the TIC community to secure their own financing, limiting risk to the building, and makes sale and transfer of units within the TIC community very easy. If an owner defaults on their mortgage, lenders can only foreclose on that borrower’s interest.

How are TIC’s different than Condo / Cooperatives

TICs are different from both Co-ops and Condominium property types. Condominiums are formally subdivided properties with their own APN (Assessor’s Parcel Number). A Co-op is a stock cooperative, or legal entity that owns the property, and ownership & usage rights are represented through membership shares. In contrast, Tenancy-in-Common represents ownership interests within one APN parcel with the exclusive use ability outlined in the TIC Agreement.

Conversions of existing multi-unit properties to TIC-based ownership have become steadily more popular since the late 1980s, as housing costs and prices have risen sharply within California. The introduction of Fractional TIC mortgages in 2005, allowing each TIC owner to have an individual loan, has lowered ownership risk and made resale of TIC interests much easier.

Henry T. Jeanes
TIC Financing Specialist | NMLS #657755
Tel: 415.990.5620
[email protected] | www.primaryresidentialsf.com

Call today for Rates & Details
Primary Residential Mortgage Inc. | NMLS #3094
1746 18th St., San Francisco CA 94107
www.primeres.com

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