Philadelphia Business Daily

Is it possible for three people to have joint ownership of a previously foreclosed house?

Two of my friends and myself are looking to buy a previously foreclosed home in Parma, OH. Is there a way to split ownership three ways? How does that work with home loans or mortgages? We're completely clueless on how to go about doing this. Thank you kindly. Any answers and comments are greatly appreciated!!

Public Comments

1. yes, just go to a lawyer, they will draw it up
2. The place to start is the mortgage application. All 3 of you will have to go in to a bank and apply for a mortgage. IF, you get approved, then you need to go to an attorney to draw up an agreement that covers what will happen if one or more of you want out. ALWAYS have a contingency plan with business partnerships--and buying a house with other people is a partnership. Good luck
3. It is possible and it is easy. You have 2 choices for ownership. You can all 3 own the house as Tenants in Common (not like a tenant who is renting- this is a legal term). Each of you owns 1/3 but you can not draw a line down the house and divide it that way. When you sell you each get 1/3 of the profits. Or you own it Joint Tenants. If one of you dies, the other 2 immediately own it. They don't have to go to Probate Court to get your name off the deed. But if you want your 1/3 share to go to your family, don't do Joint Tenants..