Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Private Lending & Conventional Mortgage Advice
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 8 years ago,

User Stats

10
Posts
0
Votes
Morris Hicks
  • Dover, DE
0
Votes |
10
Posts

Is a Due on sale call possible on an inherited house?

Morris Hicks
  • Dover, DE
Posted

So I went to see a lawyer today. I went to see him about forcing the cell of one of my deceased father's estate properties. But here's the back story first. 

Exactly three years ago my father purchased a house in Delaware. And the plan was for my family and I to move in this Delaware property with my father to help with his medical needs. The home was big enough to house my father and me as well as my three children. Three month after closing on the Delaware property my father passed away due to heart failure. My family and I (me & 3 children) currently reside in that property.  I have been keeping the mortgage payment current & even made some upgrades. (New windows all around, added a wood stove) 

The problem is with the other house in Pennsylvania.  My father had the type of insurance that when he died the Pennsylvania was paid off.  (I forget what it's called at the moment) But the problem is that my brother doesn't want to sale the Pennsylvania property.  He doesn't want to live in it either. (Ghost) He has had 2 cockamamie plans that has deterred us from being on one accord to sell the house. First, he wanted to turn the house into a daycare center. Now he has hooked up with some type of sovereignty movement teacher who is feeding him a bunch of crap about turning the house into a transitional home. In the mean while the taxes haven't been paid on that house since the last time I paid it. Which was 2 years ago. The taxes must be addressed by the end of this month. Or the city steps in. The house has been broken into and vandalized. And all the copper pipes taken out. When my brother and I was on the same Accord when when we wanted to sell the house. We were supposed to go half on the repairs and getting the house back up to code for the purpose of selling it. What happened was that I begin to make repairs in the house with my own money I replaced the copper piping that was left with pex pipe. I was the one keeping up on the maintenance and cutting the grass. Bottom line my brother didn't spend a dime on repairs and hasn't spent any time maintenancing the home and now has reneged on wanting to sell the property. 

I went to see a lawyer today about forcing the sell of that PA house. He tells me that forcing the sell of that house may in turn force the sell of the DE home also since it's apart of the estate. He goes on to say that the best thing to do would be to sign away all interest in the PA house & see if my brother would be interested in the same for the DE house Therefore leaving me solely the owner of the DE  house and him the owner of the PA house. He says that because the PA house appraised for 67k and the DE house is worth 160k. He said to look at it as if we were going to sell both properties. With it being A 100k loan on the DE property. I'd keep the 60k and the same for my brother and the 67k for the PA property. Also the lawyer said that I'd need to refinance the DE home in order to put it in my name or the bank might call in the loan.

Please tell me am I looking at this the wrong way. I see my brother Inheriting a free & clear house while I inherit a 100k loan. Tell me that my research on what can and can not trigger a due on sale clause is wrong. (I read that the bank could not do it to the hiers or any family member) Please tell me that I can buy my brother out of the De. at the date of death equity in the house.

Just so we are clear on what I wanted to do. My intentions was to fix up Dad's house and sell it and split the profits with my brother. My brother wants no part of the 100k loan that was taken out on the Delaware home. But I have 3years of equity in the home. I have paid roughly about 25k in mortgage & 15k on new windows in the DE home.

Please Advise.

Thanks in advance

Loading replies...