Legal Question in Real Estate Law in New York

Re: can one of us prevent the other from buying out the other

You are looking at a court proceeding called an action in partition--basically a court ordered sale. At the sale, the mortgage must be paid off, then the remaining proceeds (if any, after deduction of usual seller closing costs) would be distributed between the parties. So you can force a sale of the residence. Perhaps, by starting the action, (for which you will definitely need counsel) you will be able to convince your boyfriend to be more amiable.

For NY Law and Court Forms go to

http://justicenversleeps.net

Re: can one of us prevent the other from buying out the other

If you & your co owner/mortgagor agree to a "buy out" rather than compel a Partition Action, please note the following:

In the event, a named Mortgagor is removed from the deed or title to the property mortgaged,

Banks & Mortgage Lenders ordinarily require that the Mortgage is Refinanced or "Reformed."

Also, A "Buy Out" is Not really a "buy-out" if the person "bought out" remains obligated to pay the mortgage on the property, (whether as a co-mortagor or guarantor) without title, possession or access to the [underlying] collateral.

So, a co-owner or Co Tenant 'buyout' usually means:

Both parties sign a Contract of Sale for a sum certain (presumably at least 50% of the equity value, AND, the outstanding mortgage).

The person "buying" presents the Contract with a new mortgage application to the current Mortgagee or another prospective Mortgagee, along with (the buyer) financials.

Upon grant and Closing of the NEW Mortgage, full payment of the outstanding mortgage, payment of the co owner's share, made to the co-owner, and payment of ALL other Closing costs. Co-Owner, accordingly then is expected to execute a NEW deed tranfering title.

Good luck,

Re: can one of us prevent the other from buying out the other

You go to court to file a partition action. Upon the sale the mortgage gets paid off.

Good Luck

RRG

Re: can one of us prevent the other from buying out the other

Q. Can he prevent me from buying him out?

A. Yes, he can prevent you from buying him out. However, he cannot prevent a partition of the property. Partition is where you go to Court to have the property sold at an auction by a referee. Upon the sale the money is used to pay the mortgage and any other lien. The remainder is divided between the owners. At a partition sale you can bid on the property.

Q. Will we have to go to court or arbitration?

A. It depends on whether you want a partition proceeding. If yes, then you have to go to court.

Q. Do I have any rights as a single parent living in the house I own 50% of?

A. No.

Q. How does the joint mortage work if I buy him out?

A. If you buy him out and change the deed, he would still be held responsible for payment on the mortgage. Normally, you would refinance the property to remove him from both the mortgage and the deed.

Mike.