my cousin and l jointly owned a property which we have just sold. There was an outstanding balance of 20,000 on the mortgage as at when we sold. The ownership is 50/50. Do l deduct the balance mortgage amount before we spilt the profit?
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1If you didn't have an agreement before the sale, you have to make one up now.– Pete BeckerCommented May 18, 2020 at 18:13
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Presumably the lawyer handling the sale will net off the cost of paying off the mortgage and any other expenses (such as legal fees) before releasing the balance of funds due to you and your cousin. A 50/50 split of the net proceeds would then follow. This assumes that you have both contributed equally to the cost of owning the property - i.e., taxes, insurance, mortgage, etc....– not-nickCommented May 18, 2020 at 18:54
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