My husband and I purchased our 1st property 7yrs ago with the intent we would sell after we retired!!! However a lot of curcumstances have changed. Due to the “boom” our little investment is now even after the market has dropped made good capital growth. I want property investing to be my primary concern. I am cash poor. There is an idea I need help with, we have placed our property on the market, a couple of tyre kickers and 1 small offer that we felt was just not good enough ( I was not that desperate) My idea: What if I sold half interest in the propery the purchaser would be responsible for half the bills associated with the property but they would have there own mortgage? MAXD OUT
If you purchased the property as Tenants in Common then Yes you could sell a percentage of your shares to a 3rd party but remember that brings with it a ray of complications some of which would include:
CGT on the shares sold.
You or they can’t mortgage the property without all parties consenting and agree to the loan (not ideal unless it is a cash purchases for both parties).
Decisions are made according to the share ownership which would include sale.If you are finding the property hard to sell in the current market why not look at alternatives such as wrapping the property. You would still achieve you aim of increased cash flow.
Where the is a problem there is always a solution it is just a matter of looking a little deeper.
Richard Taylor
Residential & Commercial Finance Broker
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Maybe I have missed something?
Can you not mortgage it out yourself?
Then use the money to buy +cashflow propertys to cover the repayments and expand yr portfolio.
These days it is not too hard to get a loan on a property with existing Equity.Regards Dematio
We’ve got 70 yrs on planet earth,Lets make the most of every day!
Luke Taylor | Hope Property Investing
http://hopepropertyinvesting.com
Email MeProperty Support,Strategist and Buyers Agent
Hi Maxd Out,
As Dematio suggested, if the property has gone up in value you can use the equity in it to get a loan. Selling or drawing on equity would be a lot less problematic than selling a half share.
Regards
Alistair
You must be logged in to reply to this topic. If you don't have an account, you can register here.
