Posted on: 23rd Mar, 2009 01:01 pm
i have an investment with 5 other people for building 6 unit condo. we have 4 guarantor for this job. i am one of it. becuase of the fault of the General Contractor, more than 3 years passed, it was still not finished. the bank is going to take back the property, and built it, and sell it. if the selling price is lower than the loan, they will chase after each guarantor for money. i have another 4 unit of house for investment with other 4 investors. i am afraid the bank is going to go after that investment if they are chase after me for money. what should i do now, can i transfer my share into other person's name. by the way, the bank have not take back the 6 unit condo yet.
Hi lwen,
I don't think you can transfer the ownership of your share in the other property at this point. A transfer like this can be considered as a fraudulent conveyance and can be reversed by the bank.
I don't think you can transfer the ownership of your share in the other property at this point. A transfer like this can be considered as a fraudulent conveyance and can be reversed by the bank.
even thought my equity in that property is lower than the loan now, it could still be consider as fraudulent converyance????
Hi linda,
In case your equity in the property is less than the loan owed, the bank will not be interested in it. So, they won't mind if you transfer it to someone else's name and it would not be worth their pain to reverse the deed.
In case your equity in the property is less than the loan owed, the bank will not be interested in it. So, they won't mind if you transfer it to someone else's name and it would not be worth their pain to reverse the deed.