can i sell a portion of my property if there is a mortgage on it?

yodamomof3 · Joined: 02 Sep 2008 Posts: 1 1.30 Dollars($)

i own 3.9 acres and have a house on it,i'm interested in selling a protion of it but there is a mortgage.

sweeney · Posted: Tue Sep 02, 2008 6:23 pm Post subject:

No you can't. Not unless you can split the property legally into seperate parcels. The mortgage holder would have to agree to this, though.

0.10 Dollars($)

You'll need to contact your lender to determine if they will release the land you wish to sell.

Guest 0.10 Dollars($)

We were able to accomplish this. Although it was a painful, expensive and time consuming project. The first step was to speak to the mortgage company. In our case we were splitting 10 acres into 2 plots, 9 acres and 1 acre respectively. The next step was to get local government approval which was the most difficult part and which required hiring an attorney. This step took six months. The total cost for the attorney, filing fees, fees paid to the mortgage company for the split and the survey were in excess of $5,000.00.

lisascherzer · Joined: 04 Jan 2008 Posts: 755 1.03 Dollars($)

I have helped a client do this once and I agree with the advice given here that you want to start with the mortgage company. They will send you a packet of information that explains what is needed for them to sign off on it. Basically, you are asking them to release part of the property that is currently security and they just want to make sure that the remaining property still holds enough value to secure the mortgage. If it does, they should sign off on it. However, there are never guarantees.

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