What are some of the drawbacks to Tenant-in-Common investments?

Tenant-in-Common investments do have potential drawbacks.  As with all investments, it is important to evaluate the Pros and Cons, and make an informed investment decision. 

1. TIC investments are passive investments.  Owners do not have constant control of the property, and when difficulties arise regarding the property a good solution for all the fractional owners can be difficult to achieve.       
2. TIC investments have uncertain liquidity and can be difficult to sell.  
3. Investors may have to be accredited, generally (net worth over $1,000,000, or annual income over $200,000 for the past two years). 
4. There is no guarantee that stated projections will be met.  Tenants may default which can cut off cash flow to investors.
5. TICs will generally not pay as high a total return over the hold period as a direct real estate investment where a property owner has active management responsibilities, and therefore are not paying to perform work that they would do themselves.