Re: Need Advice. Please help. - Posted by Clint
Posted by Clint on May 17, 2006 at 20:57:59:
Too late, but advice point number 1: Never, let me repeat, NEVER, do business with family or freinds.
I take it the 40K is “out of pocket” and the $360K was a 100% loan.
This means you have 400K into it.
- How much is your half?
- Did you put $ down?
- Did you put $ into the ‘finishing’?
Yes, there are always fees, but all fees are negotiable; you may want to mediate this.
If your cousin ‘buys’ you out, what exactly are your numbers?
Your cousin will pay transfer taxes, deed prep, you both will have attorney fees, if you don’t use the same attorney to handle closing; title insurance binder, et al will be his expense.
Write the contract, as “buyer pays all closing costs”
taxes that are pro rated should be split and you might get back some of your tax $ too.
Now for the dirt: if he refuses to ‘buy you out’ you can get an attorney to force a partitions suit, it isn’t cheap, and it isn’t quick.
May I suggest, you find a mediator, and go that route.
Don’t get greedy, let the chips fall where they may. Like it or not this cousin is still related to you. These little things have a way of creating a huge rift in families, particularly when it comes to reunions.
Suggest that the both of you do the following:
drop the price - if it isn’t selling it’s too high.
Use a realtor, get some comps, and find the ‘real going price’ now
Chalk this up to a bad experience.
Let the other guy win (it may be the buyer/it may be your cousin) but you’ll both get out.
Best of luck!