January 4, 2011 at 5:21 pm #56035
firstly hello this is my first post and thanks in advance for reading!
my situation seems to be the classic, not earning what i was the debts increased and now pretty much what comes in goes out in living/buisness expenses so looking at bancruptcy, this isnt a quick decission and its been about a year of negotiations with creditors to no resolution, the only asset i have is an apartment in fuerteventura i bought with my brother 5 years ago, now im pretty sure i understand the process, here are a few figures
bought for 52,000€
mortgage outstanding 44,500€
community debt (aprox) 4,000€
now we split the mortgage payments/community 50/50 until the beginning of the year where he pays all of it now as i obviously cant, also he paid the initial fees/deposit of £6,000
so first question, is the community a debt thats taken into account? i.e making the outstanding amount 48,500€?
also the current valuation, i havnt had one done yet but the neighbour has had his up for 3 years at 53,000€ and hasnt sold it so can i assume it would be in and around 48,000-50,000€? if the valuation does come in at that then if i understand correctly there is little to no equity in the property and this allows my brother to buy my share out?
im not trying to shirk my responsibilities or try and pull a fast one my brother put the intial money into it and doesnt want to loose it, i would happily sign it over to him but want to do this correctly and honestly, i have calculated with his initial lay out and know fully paying 100% of it he has paid 70% in total and myself 30%, how they work the split im not entirely sure but if any one has any advice on this it would come greatly received!
many thaks alex
January 13, 2011 at 9:56 pm #102370
Dont forget if you sell your share to your brother there will taxes to pay & notary cost. As your brother is acquiring a monetary value & you may be making a capital gains.
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