Here is the situation I am facing and I need urgent advice:
I have two homes which I let a friend have complete control and management of, to use in order to benefit from them, like living in one and using the other to generate income for himself.
I imposed only two conditions on him:
- That he restore the two homes from the ravages of a storm and massive flooding some years back in the location of the two homes.
- That he pay the property tax of the two homes every year and give me copies of the property tax payments.
He was very happy, restoring both homes, living himself and his family in one, and renting out apartment units with the other, after converting it into an apartment house.
I don't ask any money nor any substantial favor from him, with his complete control and management of the two homes.
That was good for him for five years; then he asked me very recently whether he could sell the home he converted into apartment units for rent: because to date he has not broken even with his input of cash and his own time and labor in the restoration of the home/apartment, and he is already tired of the troubles in running an apartment occupied by tenants - it turned out that this kind of an income generating undertaking is no bed of roses.
And he told me that he found a fellow church member who is a real estate broker: this broker has found in turn a ready buyer, and they both the broker and the ready buyer have come to a price for the owner - that's me: so all I have to do is to follow the broker in regard to all kinds of papers for me to sign, and other acts to undertake, in order that the ready buyer will pay me in cash right away, when he the buyer is assured by the broker that everything is in order and the owner - that's me, is ready to consummate the sale of my home to him, the ready buyer with cash to pay for the home.
Now, what happened?
My friend told me that he wants to get a cut of the selling price which he and the buyer have come to agree on, in regard to the amount of cash I must shell out, and I don't have to do anything: except sign all the papers and get the payment, and turn over the home/apartment to the ready buyer.
I told my friend, I don't see why you should demand a cut of the selling price, even though you put in cash and your time and trouble to have restored the home/apartment in question.
At this point he turned really 'ugly', calling me a greedy geezer, obsessed with money, exploiting him for a slaving donkey, etc. etc. etc., after all the favors he did for me, in restoring my two homes and being a very good friend to me.
In effect, I see that he has become a bully toward me.
At the rate he is berating me continuously I have thought seriously to just give him a cut of the selling price, to preserve our friendship of so many years.
Now, my problem is I am wondering how much he will demand for a cut of the selling price.
On the other hand, I am wondering what is the logic if any at all, with his demand that I should give him a cut of the selling price.
But I must admit that I am also ready to sell the property, as I am not disposed and not capable of myself taking care of the home/apartment.
This friend of mine has been in complete control/management of the two homes: one in which he and his family live in, and the other he uses to operate and earn income renting out apartment units.
Dear colleagues here, what advice can you volunteer for me, if I should decide to in effect break up with my friend of long long years, by telling him that I have changed my mind, and will not anymore agree with him to sell the home/apartment.
All the five years I never ever bother him how he controls and manages my two homes, and never bother him with money that he should share with me, and I even insure both homes against fire on my own cost, of course I will get the insurance payment should a home get damaged or burned down from fire.
You see, I am always saying to myself, what is happening to me, with granting complete control/management of two homes to my friend for him to in effect fully enjoy without any interference from me.
Dear colleagues here, I am nobody knowledgeable and much less experienced with what to do with a home that is now or eventually will be an idle piece of real property, as I see it: my friend will just walk away from his control and management of the home/apartment if and when I don't agree to give him a cut of the selling price.
Please give me advice or suggestions on how to or what to do with a home that I cannot myself control and manage, what with it being occupied by tenants.
This is the fact, I have never ever demanded and thus never ever gotten any money from my friend, who enjoys the complete control/management of my two homes. No, nothing at all, except that he is my friend from long long years ago.