In a legal sense, how should we proceed? All own 1/3rd each, somehow written into a contract or is it simpler if just one of us owns it & the others rely on trust that they are owed their share? Is it easy & normal to have a contract written for such things? can a template be downloaded from the internet, to be filled in by each partner in order to save on the costs of a solicitor? Any answers or other relevant advice will be gratefully received. Thanks in advance, Phil
2007-03-17 10:32:33 · 10 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Avoid what is easy and do what is right.
You should have a lawyer draw up an agreement. You also need to decide how you are going ot pay for the property. If you need a loan then the lender will restrict your options (they want individuals on the loan and not a brand new LLC with no credit history).
For planning purposes assume that 1 of the three dies and you find that they spouse becomes your partner. Decide how you would have liked things to have worked (insurance to buy out the new partner, etc). Then write it up so that things are clear.
Also that something happens to one and you need a judge to decide. Is the agreement clear so the judge will do the right thing?
Assume that one partner is sued for running over a little old lady or something similar. Are you protected or do you lose control of the project and the property?
Investing with a partner can work but you really have to plan for things that are unlikely. A project that stalls in the middle can cripple what was a good deal.
2007-03-19 22:15:01 · answer #1 · answered by Anonymous · 0⤊ 0⤋
The most secure way would be to put the house into an equity holding land trust. All 3 parties are named as co-beneficiaries and are paid when the house is sold according to their contributions to the trust. This also protects the house from legal action in the event that one of the "partners" gets sued before the house is sold. You've effectively converted "realty" into "personalty" and jointly owned personalty cannot be attached to a judgement against any one of the owners.
2007-03-17 13:58:22 · answer #2 · answered by Anonymous · 1⤊ 0⤋
You would need to buy it the same way a couple would buy it. With all parties signing the mortgage contract and being on the deeds etc. Unless you already know about conveyancing, get a solicitor. And above all dont rely just on trust. If you intend it to be a business venture, be businesslike. Friends dont always stay friend when theres money involved!
2007-03-17 10:38:21 · answer #3 · answered by jeanimus 7 · 3⤊ 0⤋
the unhappy actuality is that she is prepared to be some distance more advantageous nastier than you both are so she does have the great danger to stay indefenitely with assistance from sending realtors away and such, except for sure you've been prepared to avict her even if it extremely is fairly extreme on my opinion, yet though it remains your in person-friendly words particular answer to the placement of having her out and also you be conscious of he gained't do it so the great element to do right here's to enable it flow, in spite of in case your hubby is nice and he or she could say sorry. You said he does pay for her procuring too, i anticipate he stopped? because it extremely is something you are able to definitely do an avoid major hussle, my gues is that in time, the living house will develop into to extreme priced to mantain besides and he or she'll opt to flow out and meanwhile you and your hubby ought to save up that money a minimum of. the in person-friendly words different 2 options are aviction or letting flow of the apology, get on her strong area and convince her to flow yet I do evaluate that a lengthy shot, even if, often times lengthy pictures are fairly worth attempting if for no longer different reason because it does grant you with some peace of ideas to entice close you probably did attempt each thing somewhat of being below pressure over this :) best of success
2016-11-26 19:22:01 · answer #4 · answered by ? 4 · 0⤊ 0⤋
Definitely in 3 names!
2007-03-17 10:36:07 · answer #5 · answered by freddy the newf 4 · 0⤊ 0⤋
1/3 of all expenses and 1/3 of all profits,get a contract thru a law
firm
2007-03-17 10:37:14 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Definitely three separate owners drawn by a solicitor. Hope you make a profit not a lost!!!Sorry!!
2007-03-19 04:54:32 · answer #7 · answered by van n 3 · 0⤊ 0⤋
Being friends now may not mean being friends when the SH!T hits the fan!!!! i.e. when the pressures ON!
do things properly by assigning ALL 3 NAMES, onto whatever you have in mind.
DON'T skimp on CUTTING costs, otherwise you'll be cutting off each others NECKS!
2007-03-17 12:46:02 · answer #8 · answered by bluecow 5 · 0⤊ 0⤋
get to a solicitor and get it drawn up into a contract otherwise if you should fall out with the one person who owns it you wont have a leg to stand on.
2007-03-17 10:36:00 · answer #9 · answered by Jo. 5 · 1⤊ 0⤋
Do you watch "Flip That House" on TLC?
2007-03-17 10:35:37 · answer #10 · answered by Anonymous · 0⤊ 0⤋