Legal Question in Real Estate Law in Washington

joint tennants

Two individuals bought a piece of property as joint tennants (friends). One of the individuals is taking over full responsibility for the mortgage payments and now wants to sell due to not having this in mind. Before that happens, they need to address some repairs that will increase the value once the home is on the market. This same individual wants to know if there is any remedy other than refinancing or doing a quitclaim deed to remove the other's ability to capitalize on any future interest in the gain. They are concerned about not only this but the 1/2 excise tax they will pay if they do one of these two options since they are selling within 6 months and they would pay again at that time.

Can an attorney draft any legal document that would cover the person assuming the mortgage and repairs before the sale happens or are these the only two options.

A


Asked on 4/18/05, 10:44 pm

1 Answer from Attorneys
Bruce Busch Bruce R. Busch, Attorney at Law

Re: joint tennants

Yes, if both joint tenants agree to sign a contract they could agree as to the percentage distribution upon sale. If one refuses to sign, at least save your receipts for the improvements and there is a chance you'd have a claim for reimbursement for those expenses. However, if would be better if both parties agreed in writing prior to the sale. An attorney could certainly draft something up.

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Answered on 4/19/05, 3:11 am


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