Odd selling position - need advice please

[Fred11201]

I own a condominium with a friend. He is buying my half. One, he wants to live there. Two, I want to sell my half. We will agree on a price. My question is that he thinks we just need a quitclaim deed. I want to protect myself bc he has a history of terrible credit (I dont ever want to be attached in case he default on his new loan or the payments to the HOA), and I also want protect myself against anything that may be discovered after I sell that needs repair (I dont want to be a liable for a penny). What do I need to do. Your help is appreciated?

[viavirginia]

I am going to assume, that your co-ownership in the condominium exists as a “tenancy in common.” The dead creating the tenancy in common may or may not state the fractional interest held by each co-owner. If there are no fractions stated within the dead, then it is safe to assume that you do have an undivided one-half interest in the condo. Now to answer your question. A quitclaim dead conveys whatever interest or title the grantor (you) has in the property and most importantly, the doctrine of after acquired title does not apply. Remise, release, and quit claim are the words typically applied with this deed. Properly executed with the help of a real estate attorney, this deed should get the job done for you.

[viavirginia]

I am going to assume, that your co-ownership in the condominium exists as a “tenancy in common.” The dead creating the tenancy in common may or may not state the fractional interest held by each co-owner. If there are no fractions stated within the dead, then it is safe to assume that you do have an undivided one-half interest in the condo. Now to answer your question. A quitclaim dead conveys whatever interest or title the grantor (you) has in the property and most importantly, the doctrine of after acquired title does not apply. Remise, release, and quit claim are the words typically applied with this deed. Properly executed with the help of a real estate attorney, this deed should get the job done for you.

[Paso Dog]

It could be well worth the money to get some advice from a Real Estate Attorney.

[TJ2007]

It sounds pretty straight forward. Always good to use an attorney though.
IF he is taking out a new loan anyway, which ever title company is handling the closing will likely be more than happy to handle the quit claim for you at no extra cost.

My brain is a little fried right now from being on the forum too long, but it should be a little cheaper doing a quit claim, however BEWARE the taxes as if you are 'technically' selling him your 1/2 there will likely taxes be due even if they are not collected at closing - you don't want the IRS breathing down your neck later!

[Thesa]

Do the two of you have a loan on this condo? How is he paying for it - you mention that you are worried about his credit - that leaves me to think that the two of you have a loan - and he plans to make the payments and you come off title - if this is correct - it will not free you of the responsibility - he will need to get the condo financed on his own - is he able to do that? He may just need to look at a refi - and put it in his name - upon that closing you receive your proceeds and the tiltle can be transfered at that time.

[Fred11201]

Yes, you are correct. He is refinancing in his own name, and I am deeding my half to him, in exchange for cash. I just want to make sure the quit claim can contain an as-is clause, I dont know if it can or cannot. Thanks