|
 |
Home >> Lending
A Loan on a Portion of Property
I own a piece of property with my father and brother. My father owns half, my brother a quarter and I own a quarter. There are 65 acres total. I was wondering if it is possible for me to take out a loan on my quarter?
|
|
 The answer is, it depends. Is it a designated 16.25 acres that you own, or are you a quarter owner of the entire 65 acres? It could be both ways. In the latter, all parties have to agree to anything dealing with the land and you would have a difficult time finding a lender. Without carving out your specific tract, with ingress and egress, the lender would need to take all 65 acres as collateral. Your father and brother may object to that, and while they may not be required to sign the repayment obligation, they would have to sign the collateral agreements.
If your tract has been subdivided and is completely separate, your father and brother own adjoining property and you could borrow on your land. Again, if they own this with you, their signatures would be required.
Published on BankingQuestions.com 4/16/09
|
| |
|
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
