Legal Question in Real Estate Law in Maryland

Re: Co owning a house

Co-ownership has much of the same advantages of individual ownership. The owner holds title to real estate and many put a high regard on real estate as an investment. If this is to be owner occupied, the avantage to ownership is that the owner is no longer paying rent to a 3rd party landlord. Owning real estate with a friend can pose problms. What if one of the two wants to sell? Disagreements can lead to a legal procedng known as "partition" and the property is sold with each receiving a portion of the net proceeds. Another question is how will the property be titled? Is the friend's 15k giving him a greater ownership precentage? Will half of it be a loan to your son? Will your son pay a greater share of the expenses initially in exchange for the friend's paying the 15K? Interest deductions are generally available to the party who pays the interest. Each party may have reason to seek independent legal counsel as to these issues. If you would like additional information, I can be eached at 703-915-1401.