Hello I have a ip with two other people and am wanting to get out does anyone know how to work out a figure for them to buy me out, the property has decreased in value, we purchased for $360k still owe $347k and value is at $320 when we bought I payed $23k deposit and they put in $2.5k each they are wanting to give me nothing for my share surely this isnt right can someone shed some light on this
Selling share of ip to co owners
- Thread starter Jasonf6
- Start date
Surely they owe you the balance between their $2.5K deposit and the balance of what you paid less your $2.5K share? Did you pay $23K deposit and they paid $2.5K each to YOU or was the total deposit $28K of which you paid $23K and they paid $2.5K each?
If you have proof of your $23K payment, then they need to reimburse you so that the deposit amount is split evenly.
Then you need to get a valuation of the place, and they can buy you out.
Are these friends? Family? Is there anything documented saying what you each paid for the deposit?
How is the title held, tenants in common in equal shares?
Do they want to buy you out? If not, are they happy to sell and reimburse you for the extra deposit you paid initially?
Sounds like a mess. Good luck.
If you have proof of your $23K payment, then they need to reimburse you so that the deposit amount is split evenly.
Then you need to get a valuation of the place, and they can buy you out.
Are these friends? Family? Is there anything documented saying what you each paid for the deposit?
How is the title held, tenants in common in equal shares?
Do they want to buy you out? If not, are they happy to sell and reimburse you for the extra deposit you paid initially?
Sounds like a mess. Good luck.
Did you document anything at the time? If not, perhaps you can lodge a caveat over the title so that should they try to sell their one third shares you can get your share back?
Can you lodge a caveat over a title that you own a part of? I have no idea.
Have you had a falling out with them? Why don't they want to repay you for the larger deposit you made.
Can you possibly buy them out?
I wouldn't say a fallout yet I'm wanting to buy a family home and can't afford both ,they have agreed to buy me out but want to give nothing I have offered to buy them out they declined, when first discussed they were happy to pay my deposit back until they seen a mortgage broker who told them im not entilted to anything at all,I will look into a caveat to see my options
Considering you would also wear 1/3 of the loss in value ($40k /3 = $13.3k) you might get lucky and convince them to pay you $10k, ie, your $23k - $13k loss.
But what other costs have been incurred since the purchase? stamp duty etc?
And what costs will they have to pay to change the title because you've now changed your mind since the original agreement?
Was there ever a contract or written agreement in place that accounted for the buy out? I know anyone on this forum would have recommended getting one drawn up. (after recommending you steer clear of investing with friends)
But what other costs have been incurred since the purchase? stamp duty etc?
And what costs will they have to pay to change the title because you've now changed your mind since the original agreement?
Was there ever a contract or written agreement in place that accounted for the buy out? I know anyone on this forum would have recommended getting one drawn up. (after recommending you steer clear of investing with friends)
Sorry Wylie. I don't think they NEED to do anything. Unless Jasonf6's got a contract in place with the other part owners as to how a sale price was to be determined as part of one party's exit strategy then the other two parties are entirely within their rights to offer whatever sale price they feel fit. Jasonf6 has backed himself into a corner and holds very few bargaining chips. Difficult situation and methinks an expensive lesson to learn...
I suppose that could be right. But heck, this is family
.Is it a marriage breakdown. Don't they care about their child's feelings for her husband/partner?
Curious?
i think this would be the best case scenario tbh
i dont think you are entitled to all of your deposit back, why should they be the only ones losing money here?
if you can convince them to stump up $5k each then everyone will end up down the same amount which is fair
What if the other two parties don't qualify for refinance without otherwise tipping in additional cash? Is that still fair?
Just playing devil's advocate here...
