This is a request for some input from fellow reformed believers regarding a matter of real-estate inheritance and the appropriateness of written contracts between siblings. I would appreciate some non-biased input.
My brother and I each inherited 50% of my father's home. Rather than sell it, we agreed that my brother would purchase my 50% and make it his own. Although the estate is not completely settled, and therefore the "sale" cannot yet occur legally, my brother found a renter for his current home, and rather than risk losing the tenant, he asked if he could move into dad's home early rather than just having it sit there empty. I gave my permission for this. No specific date has been set for him to buy me out, although we have a verbal agreement to make that happen ASAP after the estate is settled. There are apparently numerous loan/mortgage options for him to use in order to appropriate the money for me when the time comes. One or more of them may require me to sign over the title to him so that he then has collateral for a loan, which he says he can get pre-approved, then he will write me a check. Other options will allow me to receive a check from the bank at closing, but those options have high closing costs and he prefers not to use them.
Last night I asked him to sign a contract that states the terms of his use of the home prior to purchase, specifying such things as that no renovations will begin until after the sale, that he will be assuming responsibility for the utility bills, that the closing must be completed within x months, etc., as well as the fact that the payment method at closing must be a check from the bank or a certified check. Well...He was offended, and I feel really bad about it. he begrudgingly agreed to sign, but I don't want hard feelings.
I'll state that I'm a Christian and he is not; however, we have an average relationship and I don't doubt the sincerity of his intentions. Part of me wanted a contract to avoid "the unexpected", such as an out-of-nowhere issue with the loan or his bank account after closing, and to have everything out in the open as soon as possible. Another part of me thinks our relationship is best protected if we're not in a position at any point where he owes me such a large amount of money. "Good fences make good neighbors" and all that. (He will be living next-door to me!)
Do you think I was out of line for asking him to sign a contract of this nature? Was I irresponsible in letting him move in prior to the sale? Are those scriptures that tell me to loan without expecting to be paid back relevant, even though the dollar amount is so high, and the future of my children's financial security depends on it? Am I showing wise discernment, or unjustified and hurtful paranoia? Your honest comments would be appreciated.
My brother and I each inherited 50% of my father's home. Rather than sell it, we agreed that my brother would purchase my 50% and make it his own. Although the estate is not completely settled, and therefore the "sale" cannot yet occur legally, my brother found a renter for his current home, and rather than risk losing the tenant, he asked if he could move into dad's home early rather than just having it sit there empty. I gave my permission for this. No specific date has been set for him to buy me out, although we have a verbal agreement to make that happen ASAP after the estate is settled. There are apparently numerous loan/mortgage options for him to use in order to appropriate the money for me when the time comes. One or more of them may require me to sign over the title to him so that he then has collateral for a loan, which he says he can get pre-approved, then he will write me a check. Other options will allow me to receive a check from the bank at closing, but those options have high closing costs and he prefers not to use them.
Last night I asked him to sign a contract that states the terms of his use of the home prior to purchase, specifying such things as that no renovations will begin until after the sale, that he will be assuming responsibility for the utility bills, that the closing must be completed within x months, etc., as well as the fact that the payment method at closing must be a check from the bank or a certified check. Well...He was offended, and I feel really bad about it. he begrudgingly agreed to sign, but I don't want hard feelings.
I'll state that I'm a Christian and he is not; however, we have an average relationship and I don't doubt the sincerity of his intentions. Part of me wanted a contract to avoid "the unexpected", such as an out-of-nowhere issue with the loan or his bank account after closing, and to have everything out in the open as soon as possible. Another part of me thinks our relationship is best protected if we're not in a position at any point where he owes me such a large amount of money. "Good fences make good neighbors" and all that. (He will be living next-door to me!)
Do you think I was out of line for asking him to sign a contract of this nature? Was I irresponsible in letting him move in prior to the sale? Are those scriptures that tell me to loan without expecting to be paid back relevant, even though the dollar amount is so high, and the future of my children's financial security depends on it? Am I showing wise discernment, or unjustified and hurtful paranoia? Your honest comments would be appreciated.
