I own a piece of land which can be subdivided into three parcels?

Question

There is a HELOC on the home for $150k. Each undeveloped parcel is worth $75k. The appraisal shows the whole piece (undivided) to be worth $201k total. The home being worth $192k and the land worth $9k undivided. I asked why the land is so cheap and the appraiser said "they do not base values on future speculation". So my question is this: Can I survey and split the parcel into 3 tax lots even with a HELOC attached?

Answer 1

Yes, I did it before. By LAW... the lender can't hold onto to extra parcels that the house doesn't sit on... even if it's a HomeEquityLineOfCredit. I would first call the lender, ask for a "release of parcel package" and they would make you fill out an application, plus get a survey done to mark the corners and map it showing where the house is, lots, etc.. plus the fees are about $800 or so.
You probably already have 3 seperate APN#'s, but you can request the county or city to tax it seperately... but they might tax it to current market value, but you can appeal it because you didn't sell it, so legally they can't do that.
Yes, land is cheap... but don't listen to the appraiser... get a free market analysis from a local reputable realtor or broker. But you have to pretend like your going to sell it and want to list it with them. Just don't sign the listing agreement =)

Answer 2

you're meant to very own all of it the way right down to the centre of the earth, different than for mineral rights. in case you seem at it yet in any different case, you're in basic terms the owner of the land until the earth or another tension of nature comes to a decision to take it back from you. So in essence you're renting it from nature.

Answer 3

sure you can...
and then hope you don't get taxed out of that land...