I own a property with two mobile homes and land free and clear, I bought it for 45k about 10 years ago . Texas. One of the tenants wants to purchase "his half" for 60k cash. I cannot "divide the property" due to septic tank restriction. Could I transfer 50 percent ownership to him in exchange for the cash? What problems could this cause? Please advise.
First, I second the advice from @John Underwood. Someone licensed in Texas. You might also be able to get some good information from a local title company, if you know anyone in that space.
I'm not familiar with Texas laws, but you might only be able to transfer a 1/2 interest in the whole (as opposed to 1/2 of the physical property). In many states you would then become tenants-in-common. It that's the case, then the buyer would also own 1/2 of the "other half" of the property. You didn't state how this was being used, but I could imagine that being problematic.
Perhaps any problems could be overcome by a solid Tenancy-In-Common Agreement, which would set forth whatever provisions you agree upon. For example, that each TIC can freely sell his/her TIC interest (his or her half), you share property taxes, restricted access (buyer can only access 1/2), access to septic and any other utilities, among others.
Just quickly considering an alternative - would the buyer be willing to settle for a long-term land lease? You could lease the appropriate 1/2 for a long term (50 years), allow him/her the ability to assign and transfer the land lease (and make any sale by you of the property subject to the land lease), but you retain ownership.
I bought a duplex years ago in Florida that included a shared septic tank clause. Both parties were required to share costs on any repairs or maintenance. The original owner did the work with the county to divide the lot. Tank and drain field was on his side. It also included a party wall agreement which doesn't apply to your case. So could a shared septic system agreement could be added to both deeds??
Also are the mobile homes "real property" in your state? I had a mobile home years ago in Alaska and it was titled via the DMV. IDK if you would have any issues in TX.
The land lease idea mentioned above is also a good possibility. The tenant could buy the mobile home and pay lot rent to you.
If it's the county saying "no", I would wonder if are there more issues than the septic system like lot size, access?