My brother and I are inheriting a parcel of land from our late father's estate. My brother wants to buy my share from me. We are negotiating a price. What is required legally?
Do we have to have a closing like buying a house? Can I just sign away might rights to the title and deed? Do we need to go through the process of a survey and appraisal?
2007-12-12 13:33:07 · 5 answers · asked by penhead72 5 in Business & Finance ➔ Renting & Real Estate
There's a saying in real estate -- the deal is done when the buyer (and its lender) is satisfied and ready to turn over the money. So, much of your answer lies with your brother and his requirements.
Assuming your brother is willing to take all the risks and future monetary obligations, and subject -- of course -- to local law and custom, the most basic real estate deal can be accomplished by you simply transferring your ownership rights through a deed. The simplest form is a quit claim deed, which transfers whatever interest the seller has, with no warranties or representations (including if you even own the property!).
If your brother has a lender, it is likely they will require more than the basics. Closings at a title company are usually required by lenders to make sure all the appropriate documents are complete and that the deed and mortgage are recorded. Even without a lender, your brother may find it prudent to have title insurance, survey, appraisal to make sure he's getting what he thinks he is -- and getting good title to it. Or you could ask that your father's estate provide these as part of its transfer to you.
If you don't use a title company or attorney on this transaction, you'll have to figure out the forms that need to be completed (including appropriate tax forms) and how to get the deed recorded -- again your brother's issues, not yours. Given the apparent relative simplicity of this transaction, it probably wouldn't be a big expense or hassle to do this, and likely worth it.
Another alternative -- to avoid duplicate effort and cost, you may be able to do a directed deed transaction. Basically, you are directing your father's estate to transfer your share of the property directly to your brother, and he pays you whatever that share is worth.
2007-12-12 15:30:46 · answer #1 · answered by Real Estate CFO 4 · 1⤊ 0⤋
To be on the fair side. Since the 2 of you own the property as an inheritance. You would need to get an appraisal on the property. The cost of the appraisal would be required to be paid by the 2 of you. Shared equally. Then divide that in half. You brother would need to pay you off in that amount. You take the money and sign a quick claim deed of tryst over to your brother. If your brother wants a survey then let him pay for that if he needs it. From state to state all assets are treated different as to heirs. Check with your local inheritence laws. So to hear of your loss.
2007-12-12 15:12:37 · answer #2 · answered by Big Deal Maker 7 · 0⤊ 0⤋
Go to a lawyer and pay for the correct info. Laws vary from state to state.Also, get an appraisal so you know what it is worth...
2007-12-12 13:41:31 · answer #3 · answered by answerlady 3 · 1⤊ 1⤋
you can go to the county courthouse tax assessors office and they will give you the needed paperwork. you will probably have to pay a small title transfer and processing fee, but that should be it.
2007-12-12 13:40:55 · answer #4 · answered by Stevie 7 · 1⤊ 1⤋
I think Stevie has it right. I don't think you need a survey or apprasial.
2007-12-12 22:32:33 · answer #5 · answered by Classy Granny 7 · 0⤊ 0⤋