Anybody have any ideas on how to get out of 50/50 equity partnership on a rental house. There is no partnership contract except a deed in both our names.
One buy the other out.
One sign over their interests
More info would help.
Sounds like you need a buy out or to sell. It depends on what you want to do beyond simply ending the "partnership". If you are wanting to retain the property and can afford to do so, look at your partner as a seller and try to find the number that works for you both. If you really want out, you could offer to sell your interest to the other party OR get him/her to agree to list the property for sale. Without an agreement, you have to find a way to reasonably work with this individual to find a resolution. If you chose to go the buyout route, make sure that you work with an attorney to write a document stating that one of you gives up all legal rights to the property in exchange for the buyout.
All the best!
My partner is greedy and does not want to sell at a fair price. He also illegally put a tenant in the property against my wishes so it is hostile now and I just want out. He does not have cash to buy me out. My real question is do I have some legal rights or am I just screwed.
Have tried all the friendly ways. Hoping there is a legal way like a Partition sale etc.
And you have no written agreement between the two of you? How did you fund the deal?
This is WHY you DO NOT be cheap ( talking about investors in general) when setting up an agreement to do something. You have an attorney draft a legal document that spells out exits.
I hear this all the time over and over again from people that went into partnerships. In the beginning everyone is excited about the possibilities. They even overpay based on inflated assumptions and sometimes lack of knowledge or experience.
Then reality sets in and things go south and they want out. Without an agreement in place it's the wild west seeing who can take each other down first in the okay corral.
I would at least maybe talk to a litigation attorney on the phone or do a sit down with them bringing all your docs. That few hundred you pay for an hour of time might be well worth it.
No legal advice.
Time to lawyer up and that IS legal advice.
@Hank Ful Man, you have to get those exits clauses to walk away when one party goes off the deep in. The only thing you can do is seek out a local real estate attorney and see where that takes you.
Wish you the best
Antonio Coleman “Signing Off”
The way I use to split up common ownership is to file a partition. You ask the court to fairly divide the property between you, if it cannot do so it orders the property is sold and the proceeds divided. You partner will not want to hurt the value of the property as it will reduce his share of ownership. There are a lot of moving parts and you will need a good lawyer to help you. Sorry it is not a thing for an untrained person to do by them self. There may be other things in your jurisdiction that only a local lawyer can help you with. Real estate laws can differ a lot from state to state. Good luck.
If you really want revenge get your financing lined up and buy the property at the sale hehe, or at least be ready to in case it goes very cheap.
Explain about this illegally tenant your partner put in the property.
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