Can I force a sale?

[Tim1234]

What is the name of your state (only U.S. law)? NJ

I'm co-owned in my primary residence with another party. They want to keep the property through a refinance, however they refuse to look into the options of refinance and have been dragging it out for over a year now. I know under law I cannot force them to refi, but am i able to file a partition lawsuit for the house to be sold? A assumption of mortgage is not an option with the type of loan we have. Do I have any other options? We are under about $15k on the house worth vs what's owed.

 

[STEPHAN]

How much is the value of the house?

I would not expect to get anything out of a sale, as closing cost, realtor commissions (or legal fees) will easily eat up the equity.

 

[Tim1234]

How much is the value of the house?

I would not expect to get anything out of a sale, as closing cost, realtor commissions (or legal fees) will easily eat up the equity.

I don't expect to make money here, just be done with the house so I can move on with my life. The house is valued around 100-110k. I'm seeing if this is possible to force as my hands are tied here. (I'm getting married and co-owner's husband already moved in and made it there home)

 

[LdiJ]

What is the name of your state (only U.S. law)? NJ

I'm co-owned in my primary residence with another party. They want to keep the property through a refinance, however they refuse to look into the options of refinance and have been dragging it out for over a year now. I know under law I cannot force them to refi, but am i able to file a partition lawsuit for the house to be sold? A assumption of mortgage is not an option with the type of loan we have. Do I have any other options? We are under about $15k on the house worth vs what's owed.

Are you saying that there is no equity in the home? That the mortgage is 15k higher than the current fair market value of the house? If so, then are you really sure that forcing a sale is what you want at this point in time? It cannot be refinanced if the mortgage is higher than the FMV...and if you end up with a short sale that is going to do more damage to your credit than staying on the mortgage for a while longer to give the market more time to recover.

 

[Tim1234]

Are you saying that there is no equity in the home? That the mortgage is 15k higher than the current fair market value of the house? If so, then are you really sure that forcing a sale is what you want at this point in time? It cannot be refinanced if the mortgage is higher than the FMV...and if you end up with a short sale that is going to do more damage to your credit than staying on the mortgage for a while longer to give the market more time to recover.

We have about 10-15k in equity and the other party has more than enough money to pay the difference for a refi. The property has a mother-in-law suite in the backyard that is fully sustainable but is currently dilapidated, causing the property to be worth considerably less. The other party wants to dump money into that to bring the property value up, but hasn't done a thing with it in over 2 years. I want to knock it down to bring the value back to where it should be, as well as save money on insurance. No company will insure the property as a whole as long as that's there in the state it's in.

edit: I should note it's not a matter of just waiting a short while and me being impatient. They have made it known they have no incentive to refi, period, despite wanting to keep the house. They will cover the mortgage if I move out, so I will need to rent. This is fine an dandy but if they don't have plans to ever refi, I will be stuck renting while my money is tied up in this property. I'm getting married in several months so I want to get the wheels rolling on all my options here.

 

[LdiJ]

We have about 10-15k in equity and the other party has more than enough money to pay the difference for a refi. The property has a mother-in-law suite in the backyard that is fully sustainable but is currently dilapidated, causing the property to be worth considerably less. The other party wants to dump money into that to bring the property value up, but hasn't done a thing with it in over 2 years. I want to knock it down to bring the value back to where it should be, as well as save money on insurance. No company will insure the property as a whole as long as that's there in the state it's in.

edit: I should note it's not a matter of just waiting a short while and me being impatient. They have made it known they have no incentive to refi, period, despite wanting to keep the house. They will cover the mortgage if I move out, so I will need to rent. This is fine an dandy but if they don't have plans to ever refi, I will be stuck renting while my money is tied up in this property. I'm getting married in several months so I want to get the wheels rolling on all my options here.

If there is equity, then your credit won't get dinged if you sell at FMV. However, please note that partition suits are pretty expensive and often they mean that the house is sold at auction and you get less than FMV. It might however, give them the incentive to refinance and settle if you file a partition case.

 

[Tim1234]

If there is equity, then your credit won't get dinged if you sell at FMV. However, please note that partition suits are pretty expensive and often they mean that the house is sold at auction and you get less than FMV. It might however, give them the incentive to refinance and settle if you file a partition case.

I'm hoping it's the latter. It's my sister (and husband) so I would like things to end somewhat civil but I'm not left with many options. While I'd like to not ruin my credit, it's a risk I'm willing to take considering any actions I do result in me having to rent . At least me being off the mortgage ends this. I appreciate your two cents

 

[John Se]

Put it in writing, write letters that are simple reasonable knowing they will be read by others.

Start with a letter letting them know you cannot participate in the house any longer. give them two options, sell or refinance, give them a deadline.

next letter will say that you have rights under partion law to have the court sell the house give them a deadline to buy out you and refi or decide to sell.

Next have your attorney write a letter telling them you want the same things as the first letter, this usally gets their attention to settling.

Offer them a settlement, or see if they offer you a settlement

Next have your attorney file a partition action, they have to respond but there is generally no defense