Homeowners were served with foreclosure papers - is filing for bankruptcy their best option? Ilyce and Sam tell the homeowners not to file for bankruptcy, but to talk with their mortgage lender about paying their mortgage, even though they have been served with foreclosure papers. Ilyce and Sam say bankruptcy should be the homeowners' last option, despite being served with foreclosure papers.
There are various ways to protect yourself when owning rental property. But first you have to determine which types of liability you're vulnerable to at those properties. You may want to look at an umbrella policy for your rental property investments, or have a separate company own each property.
A daughter pays for her mother's mortgage, insurance and taxes. She wonders if her name can be added to the mortgage. You can't really add your name to the mortgage. In general, when you obtain a loan you sign a note and a mortgage. Each of these documents is for the benefit of the lender. The note you sign is the promise to repay the debt and the mortgage is the document that secures the debt. Consult a real estate attorney or tax professional to determine how to change a mortgage.
After repeated fixes, a homeowner still has water problems in his basement. In some states, a homeowner may have a right to pursue an action against the builder, in others, the time in which you could have brought your case against the builder might have expired. In other states, the fact that the builder tried repeatedly to fix the water problem might be sufficient for a court to find the builder to be liable.
A mechanics' lien was placed on a homeowner many years ago. Even though he does not own the property any more, this lien continues to reappear in other real estate transactions. Sam suggest going to the courthouse in the county in which the original court case was filed and, perhaps, if they have a computer system available to the public, you can view the records of your case and determine if they have continued to renew the judgment against you, or not.
A new neighbor above these condominium owners is causing water damage to the unit below them and refuses to file and insurance claim. The only solution may be to sue the neighbor for expenses reimbursed. Generally, the responsibility for repairs caused by a neighbor to another unit should be borne by the neighbor.
Upon the sale of a home, a homeowner will have to pay capital gains taxes and, in addition, may have to pay taxes on any depreciation taken on the property over the years. A 1031 exchange may be used to avoid taxes on investment property. Buying a like-kind property could allow the homeowner to use a 1031 exchange on the investment property.
When a property line is incorrectly recorded it results in title problems, which can delay or prevent a home sale. To resolve this kind of title problem, you have to correct the documents filed with the homeowners association and possibly create an easement so that the property line becomes acceptable. It may also be worthwhile to ask the developer to modify the documents that describe the property line.
Most condominium documents contain provisions to allow for and permit encroachments of one property onto another without creating a major exception to the owners' titles to their homes. This homeowner's condominium association never requested a survey and neither she nor her neighbor are able to sell their property. The neighbor may be able to grant the homeowner an easement over the portion of the land under question.
Investment property may qualify for certain tax exemptions, but it must follow strict requirements. In general, if you live in a property for two out of the prior five years (the order of when you've lived there is not important), and the property was your primary residence for two years, you are entitled to exclude $250,000 of the gain in the sale of the home from any taxes. Contact a tax account for more information.
