QUESTION
Am I able to protect my investment into a home i do not own?
Asked on Sep 12th, 2016 on Contracts - Maryland
More details to this question:
My boyfriend recently purchased a home, solely in his name to benefit from the first time home buyer deals. I am already a home owner. I will be selling my home and using the profit to do upgrades & renos to the new home. IF things were to go sour, is there something I can get written up to protect whatever money I put into the home? If my name is not on the deed?
1 ANSWER
Yes, you can have a contract with your boyfriend providing virtually whatever you want - that you are to receive a certain percentage of the profits from any sale, that you have a right to live there rent free until sale, that you are giving your boyfriend this money as a loan which he must repay with interest, and the loan will be secured by a security interest in the new home, etc. Just be sure that the contract that you agree to meets all the legal requirements of your state. I don't know exactly what these would be, but for starters you should make sure that the contract is in writing, and that each of you sign and have your signatures notarized. There may be additional requirements depending on the exact agreement you make, so make sure that you understand and comply with all the necessary formalities.
Answered on Sep 12th, 2016 at 2:43 PM