Legal Question in Real Estate Law in Massachusetts

I am in need of cash, and do not want a bank or equity loan. A relative has offered to purchase a 25% interest in my home, hoping that when I sell in 10-15 years (retirement age) their 25% of the proceeds will deliver them a profit. Is that legal/possible?

Thanks for answering!


Asked on 12/07/09, 12:38 am

1 Answer from Attorneys

Christopher Vaughn-Martel Charles River Law Partners, LLC

Yes, what you propose is possible.

I would strongly suggest that you visit with an attorney and prepare a property ownership agreement prior to doing this. There are a number of things you need to be concerned with. For example:

You need to make clear that his ownership interest is 25% only. In the absence of a property ownership agreement that spells out your actual intention, he may be entitled to a presumption of equal co-ownership.

Additionally, once your relative is a co-owner with you on the house, he could potentially bring a petition to partition and force the sale of the home to retrieve his assets.

I would be happy to speak with you about this in greater detail if you would like to make an appointment. An agreement of this sort could probably be prepared for an agreed-upon flat fee. Chris 617-357-4898.

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Answered on 12/12/09, 7:30 am


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