On 08/21/2014 6:52 PM, amdx wrote:
....

I appreciate your info, and I would always have a lawyer do the
documents, but, I'm not sure most lawyers are the person to come up with
the ideas. I want to go to the lawyer with the ideas and have them
write the contract. Or tell me why I don't want to do something.
Maybe cosigning would not be a terrible idea, she would be responsible
to the bank, not me and a default might get her out of the house.
....

The lawyer if worth any amount of his/her salt should certainly be able
to provide advice regarding structuring an arrangement that provides a
reasonable chance of working and avoids more difficulties. Also whether
there is any recourse overlooked here owing to the details of the actual
situation -- I still wonder at least some about the other assets that
apparently disappeared and whether the dismissal of them was entirely
appropriate. May be moot point but still it's a query in my mind.

Anyway, that aside, cosigning also makes the cosigner responsible to the
bank and that would then be you if she doesn't follow through. Given
the history outlined here I think relying on that would be a grave
mistake at this point; at least until she has shown the ability and
willingness to do the responsible thing for a while. In that case
you've then got another cash outlay out of pocket that is going to the
third party and it's got no tax advantage even. While the payments would
include mortgage interest since it's not your primary or secondary
residence it's not deductible even to recoup that small fraction.
That's a losing proposition all way 'round--if that were to be the
scenario that played out you'd have been far better off to just have
quit-claim deeded your half to her up front. It's even more of a losing
proposition if, as I surmise from the conversation, there presently is
no mortgage on the property.

That's why altho it's a hassle and you don't get the whole amount up
front the idea of "tote the note" does make at least some sense -- you
get some monies over a period of time, she eventually if follows thru
gets the house...

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