Hi all - I'm sure someone out there has personally dealt with this, or knows someone who has, that may be able to help me. Please chime in if you're able!
My father passed away last month and my sister and I are in the fun process of getting ownership of assets, etc. He didn't have much, but the biggest ticket item is his condo. My sister has no interest in ownership of the condo, so I'll be taking it over and will buy my sister out of her share of equity. Below are the details:
Condo Value: $70,000
Current mortgage balance: $35,000
Equity: $35,000
My thought is that I pay my sister out at $17,500 and then re-finance the mortgage into my name after we transfer the deed with the help of our local attorney.
My questions:
- Because I'll be re-financing out of an equity position, will a down payment be required? My thought is no, as my LTV will be less than 60%, even if I re-fi at $40,000 (to get a little cash to help pay for new flooring and paint).
- Do you all find condo's to be more problematic because of potential assessments? I try not to make decisions out of fear, but I also want to consider potential consequences.
- Anything else I haven't listed that I should consider, based on the limited info I've provided?
Thanks all! I appreciate your help and support!
