undivided interest

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An undivided interest means that two or more persons have an interest in a property held under the same title. The undivided interest encompasses the whole property, and its holders have equal rights to the entire property. The undivided interest is not separated into parts or shares. Thus, no individual co-owner has exclusive rights to any specific portion of the property. 

For example, if four persons own under an undivided interest 10 acres of land, each individual owner would have a 25% undivided interest in the entire 10 acres.

[Last updated in October of 2021 by the Wex Definitions Team]