I live in California and they have a fiancé that I plan on marrying this month. I sold my home two years ago and I am renting because I want to move from this area and buy a new home or build a new home with someone new.
My fiancé is in discovery Bay and a 2000 ft.² home that's on the water in her equity in the home is $400,000? So she's proposing I write her a check for $200,000 and she will put my name on the deed of trust, I guess that's what it's called?
Does that mean I own 50% of the home and the current equity of 400,000? Or does that mean I own 50% of all future equity as hopefully it grows?
So after I write her a check for $200,000 and I have my name on the deed and lets say the house sells next year for 800,000? So How much of the $400,000 belongs to me?
I don't think I'm explaining the situation are asking the right question but I'm sure you know where I'm going with this so can you please advise.
I'm concerned that if I gave her the $200,000 and she puts my name on the title
and we get a divorce in six months that I can be stuck with the payments and because the house did not go up in value to 400,000 I will have actually no equity just a liability with no asset.
The be part of this would probably be how can I protect my $200,000 and not be on the hook for the entire future house payments? And what solution would be fair to both of us?
So what are your thoughts?