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!
Any takers? I was hoping for finance / mortgage advice here...