What can I do to make my so-owner refinance?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What can I do to make my so-owner refinance?
About 6 years ago, my niece asked me to co-sign a loan to purchase a house. I explained to her that she had to assume the whole debt 1 year after purchase. After numerous phone calls I have made to her, she has made no effort to sign the renewals to assume the total debt which includes my debt of the mortgage in my name. The $300,000 mortgage debt stops me from obtaining any loan that I could get from a normal bank. For the past 6 years, I had to go to a private lending company as I ran into financial difficulty. I feel so foolish as the interest along payments and borrowing fees total over approximately $130,000 to me personally to date. The property value has increased to over 1.2 million. Can I somehow recover this debt that I incurred because of her avoiding to take over this mortgage. Now, again, this mortgage is coming up for renewal next month and I do not want to renew.
Asked on April 5, 2019 under Real Estate Law, Alaska
Answers:
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 5 years ago | Contributor
The fact is that you cannot make your neice refinance. However, you can force a sale of the propeety if you want. The law provides a remedy when co-owners cannot agree as to ownership matters. It is called "partition". In such an action, the court will order that the property be divided, if practicale. If not (such as in the case of a single family house), it will instead order a "sale in lieu of partition". This means that the property will be put on the market for fair market value and when an offer is accepted and the sale completed, the proceeds will be distributed equitably to all of the owners. First, however, the party who wants to keep the property will be given the chance to buy out any other owner who wants to sell.
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 5 years ago | Contributor
The fact is that you cannot make your neice refinance. However, you can force a sale of the propeety if you want. The law provides a remedy when co-owners cannot agree as to ownership matters. It is called "partition". In such an action, the court will order that the property be divided, if practicale. If not (such as in the case of a single family house), it will instead order a "sale in lieu of partition". This means that the property will be put on the market for fair market value and when an offer is accepted and the sale completed, the proceeds will be distributed equitably to all of the owners. First, however, the party who wants to keep the property will be given the chance to buy out any other owner who wants to sell.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.