I CO-own land , and want to build.

[Sarah R.]

I co-own land with my brother , in Topanga ,CA - close to Malibu... which is an amazing location. 

It’s 2 decent sized lots, one is more likely to be buildable than the other.. which has a lot of oak trees. So it wouldn’t be fair for us each to get a lot.

I would love to  build a home , and keep it as a rental- or sell it. Right now it’s just sitting there acquiring junk. 

The issues I face currently are that my brother has basically turned the lots into a junk yard, and lives there too... he has no means to help finance the build, and would be displaced if we decide to do so... more than likely at my cost.

What would be fair to give to him from the rental income, or of the sale?... it would be my name on the loan and my risk. 

I’ve thought of buying him out, but I worry he wouldn’t reinvest and just blow through the cash- or worse he would later blame me for “taking” something from him and later profiting ruining our relationship .. and he’s unable to buy me out.

All thoughts and suggestions appreciated. 

Thank you! 

[Greg M.]

Sounds like you need a family relationship forum more than a real estate forum. 

I believe that your cleanest out would be to approach him and tell him you want to sell the property to invest elsewhere. Do not attempt to build a house on it. Sell it and let a developer do that. 

If you decide that you really want to build a house there, are you sure that you can actually build there? Can you get permits and jump through all the hoops to actually be able to build there? There are lots of perfect lots to build on that the local governments won't allow you to build anything. 

Do you have any idea of what it will cost to build a home there? Builders are at a premium right now. Are utilities hocked up to the property? If not, do you know what it will cost to hook them up?

Will your brother give up his half ownership or are you going to have to go to court to get the property split and/or forced sale? Are you willing to do that? 

No one wants to live next to a junkyard. You need him off the property, not next door. What he does with the money is his problem. You can't worry about what if he blows the money and then is pissed at you.