Hello, I have 2 houses on 1 lot, Main house is 1600 sf 5 bed 21/2 bath, 2nd House is 2 bed 1 bath 800 sf. Both on 1 lot, no garages so i cannot split lots without building garages and lot is too small for that, The houses have separate meters and addresses, This is an ADU before they made ADU'S, I will provide seller financing so appraisal is not a problem, The only issue is how can can sell to separate people, Do I put them on as Joint Tenants on the deed or ? Any advice I would appreciate. Thank you
Specialist · Riverside, CA · Member since 2015 · 6k+ posts · 3k+ votes
6y
Still really tough unless the tenants are family members, and if/ when they want to sell/ move they will have a lot of problems. You are kicking the can down the road for now by offering owner financing, but it will be next to impossible for one to sell while the other remains and continues to own in the future. I'd make sure your potential buyers are well aware of this.
Specialist · Riverside, CA · Member since 2015 · 6k+ posts · 3k+ votes
6y
Still really tough unless the tenants are family members, and if/ when they want to sell/ move they will have a lot of problems. You are kicking the can down the road for now by offering owner financing, but it will be next to impossible for one to sell while the other remains and continues to own in the future. I'd make sure your potential buyers are well aware of this.
Rental Property Investor · TN · Member since 2018 · 2k+ posts · 2k+ votes
6y
Can you look into whether the County would allow the 2 houses to be zoned as townhouses so they would each own their own house and have an interest in the property as the common area. Then the deed could be changed to having 50% interest in the defined common area and own one whole building. Townhouse 'rules' could set up maintenance and use of the common area as rules and have a process to amend the rules if both parties agree with each townhouse getting 2 votes or something like that.
Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
5y
If they are TIC's are they both responsible for each roof, siding, etc? I'd hate to be in the sdy paying for a portion of the big house repairs. If there's ANY way to swing it, you'd be better off selling the property to one tenant and let them collect rent from the other.
If they are TIC's are they both responsible for each roof, siding, etc? I'd hate to be in the sdy paying for a portion of the big house repairs. If there's ANY way to swing it, you'd be better off selling the property to one tenant and let them collect rent from the other.
That's where a detailed TIC agreement comes in handy (there are attorneys who specialize in tics) If two separate buildings, I'd imagine each owner repairs their own but still have an HOA fund for common area expenses.