NM asked:
Hi! We are loaning a significant amount of money to a relative and wanted to know if there is any way to make a claim on their property without transferring title, or if we do transfer title, do we have to pay taxes? They currently have a tenant (not themselves) in the property they own. How do we go about getting claims to the property with them continuing to receive rent and be responsible for the upkeep of the property? We have already made a promissory note… should we add it as collateral without transferring the property?
Hi! We are loaning a significant amount of money to a relative and wanted to know if there is any way to make a claim on their property without transferring title, or if we do transfer title, do we have to pay taxes? They currently have a tenant (not themselves) in the property they own. How do we go about getting claims to the property with them continuing to receive rent and be responsible for the upkeep of the property? We have already made a promissory note… should we add it as collateral without transferring the property?
You want a secured note, you want a lien on their property. Easy to do, see an attorney. Forms at stationery store. Then you record it against property with county so that title can’t be transferred without you finding out.