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36
Posts
6
Votes
Chris M.
  • Owner / Investor
  • Nashville, TN
6
Votes |
36
Posts

Smartest Way to Subdivide? Rental w/ Mortgage on Large Lot ...

Chris M.
  • Owner / Investor
  • Nashville, TN
Posted

Subdividing lots is hot in my area especially downtown.  I have purchased a rental property and instead of buying it cash I decided to finance as it needs work.

I would like to split the lot and I am working through that but I have never done this with a property that has a mortgage attached.  If it was free and clear this wouldnt be an issue and would be pretty straightforward.

I have a plan in place but I would like to hear how others have gone about this or would go about this?

Instead of splitting the land and selling off the dirt and paying off the note, I would like to keep the financing in place and let the rental cash flow, although I realize that is not possible given the asset will be altered.  

Anyone have suggestions?  Thanks!

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