Posted on: 12th Aug, 2009 07:17 am
1. I want to act as a bank to offer a 80%-90% LTV loan to my elderly Father providing monthly income to him with NO payments due from him for 3 years. NOTE: Reverse Mortgage product WON'T work payouts too low.
2. Like a banker I want to structure loan so my odds of losing money on transaction are low (e.g. not 100% LTV) and legally uncontestable.
3. Like a banker I don't really want the property BUT UNLIKE a banker I realize this property will need to be sold in 3 yrs for me to recoup money since there is no ability to repay.
4. I need a mechanism OTHER THAN foreclosure at end of 3 years to gain title to property (eg advance agreement to transfer title - no foreclosures). 5. A GUARANTEE F creditors won't peel off home equity or compete with me for repayment (eg liens)
6. I would like to have 100% uncontestable ownership at end of 3 years (or before) with some kind of agreement to pay F or his estate whatever equity is left over in equity or due to appreciation after the sell of the home. 78yo F will move to my home after sale at end of year 3.
7. It would be a bonus if structured so Father can continue with his relationship with his homeowners insurance and lower elderly tax rate. POSSIBLE? HOW?
2. Like a banker I want to structure loan so my odds of losing money on transaction are low (e.g. not 100% LTV) and legally uncontestable.
3. Like a banker I don't really want the property BUT UNLIKE a banker I realize this property will need to be sold in 3 yrs for me to recoup money since there is no ability to repay.
4. I need a mechanism OTHER THAN foreclosure at end of 3 years to gain title to property (eg advance agreement to transfer title - no foreclosures). 5. A GUARANTEE F creditors won't peel off home equity or compete with me for repayment (eg liens)
6. I would like to have 100% uncontestable ownership at end of 3 years (or before) with some kind of agreement to pay F or his estate whatever equity is left over in equity or due to appreciation after the sell of the home. 78yo F will move to my home after sale at end of year 3.
7. It would be a bonus if structured so Father can continue with his relationship with his homeowners insurance and lower elderly tax rate. POSSIBLE? HOW?
Hi bearscare,
You will have to contact a real estate attorney and take his opinion in this regard. He will help you in formulating an agreement with your father so that you can get the ownership of the property after 3 years. Once the agreement is signed by your father, you can then claim ownership of this property after 3 years.
Thanks
You will have to contact a real estate attorney and take his opinion in this regard. He will help you in formulating an agreement with your father so that you can get the ownership of the property after 3 years. Once the agreement is signed by your father, you can then claim ownership of this property after 3 years.
Thanks