Hey, Im buying a lot from my father in law, he just bought a house with 5, and is selling me one. If he signs it over to me, and somehow he loses the property (he just fell on hardships) will the land that he turned over to me be included in the property that he lost, and will I have to give it back?
2007-03-20 02:41:05 · 7 answers · asked by Jonathan F 1 in Business & Finance ➔ Renting & Real Estate
Wow, I cannot believe the misconceptions here. Your father in law can sell you the lot. If there are liens on the property, through a mortgage or otherwise, the transfer to you will be subject to the liens. You can negotiate with the mortgage company to have your portion of the land released from the lien provided there is enough collateral remaining to secure the note. You should contact the mortgage company for information on this.
If there are other liens, such as judgments, on the property you will also take subject to these. The problem is that you may not even know that these liens exist without a title search. You should contact a title company and have them do a search and see if the transaction is insurable. If you get title insurance you will be fine if others try to make claims against your title. If you cannot get title insurance, it is worthwhile to know what liens are out there so you can either clear them or know what risks you are facing.
As for subdivision, you mention that it is 5 separate taxing lots. As long as the lots are separate on the tax roles, you do not need to do a subdivision. However, you should check the zoning regulations to ensure that the lot meets the minimum requirements on which to build and check to see if the lot has utilities.
2007-03-20 03:25:32 · answer #1 · answered by Anonymous · 0⤊ 1⤋
hmmm?
It depends on how he sells it to you.
can you have a contract that is drawn up with a bank or mortgage company where you are not paying him?
Contact the lien holder on his current property and verify that the sale can take place and then make it your reponsibility to pay THEM and not your dad.
Your dad would like this too much at first but he will be proud knowing what a smart daughter he has raised.
The property does NOT have to be paid off free and clear in order for him to sell it...do you really think that all of the houses in the real estate section of the paper are all PAID OFF?
I would think that the only issue would be the subdivision of the land.
2007-03-20 09:46:07 · answer #2 · answered by lisa s 6 · 1⤊ 0⤋
It depends on whether or not your lot is included in his mortgage, or if there were liens filed against him before he gives you the deed. If so, then it could get foreclosed on. You need a title examination. This is done either by a title company or an attorney depending your state.
2007-03-20 09:46:30 · answer #3 · answered by lawmom 5 · 0⤊ 1⤋
You must have the lot Sub divided legally from the other property.
2007-03-20 09:49:38 · answer #4 · answered by jimbobob 4 · 0⤊ 0⤋
I would think If its all on one parcel number your home would be included if he is foreclosed on. Contact someone about dividing the property so your home will be on it's own parcel number.
2007-03-20 12:01:48 · answer #5 · answered by Anonymous · 0⤊ 0⤋
If he hasn't finished payign it off then he can;t sell or give it to you. If he owns it completely, has paid it off in full then he can do what he wants with it. If it gets put into your name noone else can touch it for HIS debt or whatever the troubles are.
2007-03-20 09:45:25 · answer #6 · answered by Betsy 7 · 0⤊ 2⤋
He can't sell you something he didn't own..you just loaned him money without equity...you lost....
2007-03-20 10:16:32 · answer #7 · answered by gvh 3 · 0⤊ 1⤋