separating properties

[Nicola]

I own 4 houses 50/50 with a partner. He lives in one, I live in one, and we rent out the other two. The partnership has been fine, but we're interested in learning about separating the houses. What is the least expensive way to do this? One person advised an "informal exchange of interest" where we'd each take 2 houses informally (the loans/titles wouldn't change and would still include both our names). How would we be protected if the other were to declare bankruptcy? What alternatives do we have?

 

[HomeGuru]

Are theses houses on one lot or separate lots? If one, can the lots subdivded? If not, you may be able to use creative real estate development methods to separate interests such as a single family condominum concept. One partner gets house A and B and the other gets C and D. All homes can be mortgaged separately and have separate titles. Note that the building and zoning regulatory agencies would need to give clearance.

[Edited by HomeGuru on 11-30-2000 at 01:46 PM]