Two questions everyone. Any and all advice appreciated.
1.) Rental property bought for $12k. Partially fixed up, but still plenty of work to do, open permits, construction, violations, etc. We already put $30k or so in fixing it up. Bad area, and not sellable to anyone other than a cash buyer. I am on the deed as 1/3 owner. Not sure about filing yet or not, but if other partner(s) want to move on with project, but I can't afford to, how can I be removed without it being a preferential transfer?
This may help. The money for the property, and the money to fix it up came from one partner assisting the other partner in obtaining a loan on the property in question number 2. So I never really put any money into it, I am just on the deed for getting these two together, with the hopes we would grow it all into multilple properties. Neither of the others are in great financial shape either, but if another investor came along, i am sure the one partner would sell his share, and since I really don't have anything in it, and the remaining partner is a great friend, I would just assume be free of it.
2.) The property in question one was bought and rehabbed (as mentioned), with equity pulled from a property one of the partners had, but due to his poor credit he couldn't get a loan. The other partner could. So he took the refi, and we are all on the deed. The property is now probably worth as much as the mortgage if not less. I would prefer to get off of the deed on this one as well, as my friendship with my one partner is worth more than any of this stuff, and he wants to be able to move on with these projects.
Last part of this question is, if no other investor comes along, and I do declare bankruptcy, what happens here? And can I choose to be free of the properties as part of a Chapter 7, as if I wind up going that far, I would just as well prefer to be free of such projects.
Thanks for all your insight.
1.) Rental property bought for $12k. Partially fixed up, but still plenty of work to do, open permits, construction, violations, etc. We already put $30k or so in fixing it up. Bad area, and not sellable to anyone other than a cash buyer. I am on the deed as 1/3 owner. Not sure about filing yet or not, but if other partner(s) want to move on with project, but I can't afford to, how can I be removed without it being a preferential transfer?
This may help. The money for the property, and the money to fix it up came from one partner assisting the other partner in obtaining a loan on the property in question number 2. So I never really put any money into it, I am just on the deed for getting these two together, with the hopes we would grow it all into multilple properties. Neither of the others are in great financial shape either, but if another investor came along, i am sure the one partner would sell his share, and since I really don't have anything in it, and the remaining partner is a great friend, I would just assume be free of it.
2.) The property in question one was bought and rehabbed (as mentioned), with equity pulled from a property one of the partners had, but due to his poor credit he couldn't get a loan. The other partner could. So he took the refi, and we are all on the deed. The property is now probably worth as much as the mortgage if not less. I would prefer to get off of the deed on this one as well, as my friendship with my one partner is worth more than any of this stuff, and he wants to be able to move on with these projects.
Last part of this question is, if no other investor comes along, and I do declare bankruptcy, what happens here? And can I choose to be free of the properties as part of a Chapter 7, as if I wind up going that far, I would just as well prefer to be free of such projects.
Thanks for all your insight.
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