Results 1 to 7 of 7
  1. #1
    Join Date
    Apr 2015
    Posts
    3

    Default Selling an Interest in Jointly Owned Real Estate

    My question involves real estate located in the State of: Missouri
    My husband and I jointly own a piece of real estate with another married couple. When we all purchased the property 12 years ago, it was a run down 80 acre farm with an old farmhouse. Since that time, we have each built a new home and large barn on the property, all with cash. The original deed indicates it is owned 50% by each couple and basically the last one alive gets the entire property. This was a good idea at the time since all parties had planned to spend their retirement years on this farm. Time has passed and now we all want to move on and relocate closer to family. The first problem we have encountered is that our property has been for sale for over 3 years with no promising leads at the moment. It is a tough sell, 3 homes on 80 acres in the middle of nowhere! It will be really hard to get conventional financing since there are absolutely no comps in the area at all. The second problem is that my husband and I want to relocate even without selling the property but cannot figure out a way to use any of the equity we have (upwards of $350,000) since it is jointly owned and currently listed for sale. Is there any way we can sell our interest or use our equity in any way? This is a real problem for us and need to find a way out. The other couple is not interested in buying our 50%. Any thoughts would be appreciated.

  2. #2
    Join Date
    Nov 2013
    Posts
    6,413

    Default Re: Selling an Interest in Jointly Owned Real Estate

    You can sell your interest in the property to whomever is willing to buy it.

    You could look for a lending institution that is willing to give you an equity line of credit based on your interest in the property.

    You could look into subdividing the property and selling off smaller lots each with a house on it.

    You could possibly lease the property to someone or an organization with an option to buy and derive income.

  3. #3
    Join Date
    Apr 2015
    Posts
    3

    Default Re: Selling an Interest in Jointly Owned Real Estate

    I assume we would need the other couple's permission to sell our interest, correct? The property is set up in a way that prevents us from dividing it up into any sections that would make any sense. Hindsight is 20/20

  4. #4
    Join Date
    Jan 2006
    Posts
    38,728

    Default Re: Selling an Interest in Jointly Owned Real Estate

    No you do not need the other owner's permission to sell your interest in the property but you would have to find somebody willing to be a co-owner with the other couple.

    If if there are no loans against the property I suggest you consider dividing the property where each house is on a seperate plot of land. there may be the need for one couple to pay the other couple something if the division cannot result in an equal split of the value of the whole.

  5. #5
    Join Date
    Nov 2013
    Posts
    6,413

    Default Re: Selling an Interest in Jointly Owned Real Estate

    I believe that unless there is a covenant in your deed that requires the permission of the other couple you could sell your interest without permission. But it would be best if all parties were in agreement.

  6. #6
    Join Date
    Apr 2015
    Posts
    3

    Default Re: Selling an Interest in Jointly Owned Real Estate

    We would like to keep everything friendly with the other couple and at the moment it is, however with our desire to relocate being stronger than theirs, it may not always remain friendly. We just want out of this arrangement and would like it to happen sooner than later.

  7. #7
    Join Date
    Jan 2006
    Posts
    38,728

    Default Re: Selling an Interest in Jointly Owned Real Estate

    If it comes to an impasse you will be relegated to seeking the courts assistance in what is called a suit to partition. Basically if the property cannot be split in an agreeable and equitable fashion it gets auctioned to the highest bidder and the owners split the proceeds (after all costs are deducted and debts are paid) as their ownership interest directs.


    If mid you can't sell it at a price you are happy with you almost assuredly are not going to be happy with an auction price you will not have the choice of refusing. N

    1. Sponsored Links
       

Similar Threads

  1. Federal Taxes: Tax Liability from the Sale of Jointly Owned Inherited Real Estate
    By ducknquack in forum Tax Law
    Replies: 5
    Last Post: 02-05-2015, 11:37 AM
  2. Co-Ownership: Can a Co-Owner Withdraw Equity from Jointly Owned Real Estate
    By anaheimRX in forum Real Estate Ownership and Title
    Replies: 2
    Last Post: 09-09-2014, 07:56 PM
  3. Estate Assets and Debts: Will a Stepparent Inherit Real Estate Jointly Owned With Your Parent
    By MrA in forum Estate Planning, Administration and Probate
    Replies: 1
    Last Post: 01-23-2014, 02:58 PM
  4. Estate Assets and Debts: Inheritance Rights and Jointly Owned Real Estate
    By Cynthia Davis in forum Estate Planning, Administration and Probate
    Replies: 5
    Last Post: 06-29-2013, 07:15 AM
  5. Judgment Liens: Lien Against Jointly Owned Real Estate
    By pfb in forum Civil Procedure
    Replies: 4
    Last Post: 02-06-2009, 03:30 AM
 
 
Sponsored Links

Legal Help, Information and Resources