Legal Question in Credit and Debt Law in Arizona

debt law

I lent my ''friend'' a large sum of money to keep his home from going into foreclosure. What is the best way to ensure repayment of this money? A lien, a promissory note? What is the process involved. Would it be a good idea to have my name on the title of the home? There is already a lien on the home. I do not want to incur any responsibility for his outstanding liens.


Asked on 9/01/08, 11:48 pm

1 Answer from Attorneys
Brian Blum Blum Law Office, PLC

Re: debt law

Assuming this property is in Arizona, you should have your friend sign a Note and a Deed of Trust. You'll need a qualified trustee*. The Deed of Trust should be recorded in the county where the property is located.

Keep in mind that there might not be any equity in this property. You might never get your money back.

*qualified trustee:

http://www.azleg.state.az.us/FormatDocument.asp?inDoc=/ars/33/00803.htm&Title=33&DocType=ARS

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Answered on 9/02/08, 11:50 am


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