Selling Co-owned property

What is the name of your state? California (Los Angeles).

My finace co-owns an income property with his sister. He has decided to sell his 1/2 to his sister. The appraised value is $200,000. They are in the process of remodeling this property and to date have spent $30,000 on cosmetics (new kitchen cupboards, floor, counters, etc.)

Since we are selling the property to his sister and she will get ALL income from this property, are we responsible for paying for 1/2 of the improvements to date? (many of which were made without our approval.) And are we responsible for any yet to arise bills, i.e. exterminating, plumbing, new heater? (His sister says that inorder to rent the property again, it needs a new heater, toilet, tub, carpeting, exterior painting and exterminated.)

Since we are selling it to her after 5 years without any income from the property, we feel this is an "as is" sale and we should not be responsible for any improvements which we will not benefit from.

[HomeGuru]

Originally posted by Debra Harley
What is the name of your state? California (Los Angeles).

My finace co-owns an income property with his sister. He has decided to sell his 1/2 to his sister. The appraised value is $200,000. They are in the process of remodeling this property and to date have spent $30,000 on cosmetics (new kitchen cupboards, floor, counters, etc.)

Since we are selling the property to his sister and she will get ALL income from this property, are we responsible for paying for 1/2 of the improvements to date? (many of which were made without our approval.) And are we responsible for any yet to arise bills, i.e. exterminating, plumbing, new heater? (His sister says that inorder to rent the property again, it needs a new heater, toilet, tub, carpeting, exterior painting and exterminated.)

Since we are selling it to her after 5 years without any income from the property, we feel this is an "as is" sale and we should not be responsible for any improvements which we will not benefit from.

**A: those issues are fodder for negotiation.

What are our legal responsibilities? Is there anywhere that I can look or anyone I can speak to that has a definitive answer? This is tearing a family apart.

[Souix]

Originally posted by Debra Harley
What are our legal responsibilities? Is there anywhere that I can look or anyone I can speak to that has a definitive answer? This is tearing a family apart.

***It would probably be best to consult a real estate attorney if your family cannot work these negotiations out between yourselves***

My fiance's sister is a real estate agent and handling this in lieu of going through a real estate agency. I am seriously concerned that she is not acting ethically on this matter. We really need to hear from someone in the real estate business world who can advise us on how to protect ourselves in a inter-family transaction.

Did you even read HG's response? NEGOTIATION. As in make an offer (not including the renovations) and wait for a counter-offer.

And stop paying for anything until this is settled.

[Souix]

Originally posted by Debra Harley
My fiance's sister is a real estate agent and handling this in lieu of going through a real estate agency. I am seriously concerned that she is not acting ethically on this matter. We really need to hear from someone in the real estate business world who can advise us on how to protect ourselves in a inter-family transaction.

***I just gave you advice. Are you not reading a Realtor and an Attorney's advice? Or not taking it? Even in the State of California a licensee has to have their license placed with a Real Estate Company. If you don't want to hire and attorney, then my best suggestion is to hire a Realtor that is not affiliated with your family in any way whatsoever and let the negotiations begin.***

[HomeGuru]

Per the advice of Souix, if another Realtor is hired, the Realtor should be hired in the capacity of a consultant only.

[Souix]

Originally posted by HomeGuru
Per the advice of Souix, if another Realtor is hired, the Realtor should be hired in the capacity of a consultant only.

***Yes! Definately! And paid for their time!***

[HomeGuru]

Yes, pay for services is always good.