As someone that’s dealt with families trying to sell real estate owned jointly by several different families, owning real estate that requires all your friends and/or family to approve your sale sounds like a recipe for disaster.
I would love to know how people have successfully resolved this for their families.
I wonder if this compound stuff might work better for 6 secondary homes, like in the woods for summer. Everyone pitches in to build them.
Have kids so rich what you leave doesn't really matter, or so poor they can't afford to bicker over it.
Please see recent Murdoch family succession news. The world is not enough.
> so poor they can't afford to bicker over it
We will never stop bickering, it is only our implements that become more cost efficient.
https://www.connexionfrance.com/practical/buying-and-selling...
We have that in the US, it's called a reverse mortgage. Generally it's large investment companies doing the buying, but I don't think there is any real reason why normal people couldn't do it. The downside is that it's sort ripe for abuse where the large companies doing the buying can take advantage of the elders needing money.
Hugh Hefner did this arrangement with the Playboy mansion - https://www.forbes.com/sites/forbesrealestatecouncil/2017/10...
Conrad Black also did a similar deal for his place - https://nationalpost.com/news/canada/conrad-black-sells-2300...
>In the system I described, the person buying the property pays the seller an ongoing fee, and the seller continues to live there.
That's called a reverse mortgage in the US.
And if one can live at home rather than assisted living, that's often preferred anyway.
IMHO, the heirs and executor should endeavor to either sell the home quickly or arrange so that only one person inherits it. Group ownership typically devolves into trouble. Although sometimes there's griping about future value changes even though the split was equitable at the time of distribution.
In support of the point above, after having to arrange housing and care for elderly relatives in that stage of life, I found assisted living significantly more expensive vs. paying a care agency to have someone live at home in the United States. You get the added bonus of more accountability of a standard of care and ensuring loved ones are being taken care of. Talking to the assisted living facility, it sounded like most of their residents were using insurance.
It really depends on the level of care necessary.
>Talking to the assisted living facility, it sounded like most of their residents were using insurance.
A lot of them don't really take insurance, but they will encourage the residents to spend all their money and then get on Medicaid/Medicare to have the government pay for everything. There is private nursing home insurance but most people don't have it because it's ungodly expensive, especially when purchased when you're already fairly old.
This is key. I wish the elders in my family had done that. You don't even need to have a ton of assets for it to be worth it to protect them that way.
But if I understand this correctly, this is just a way to allow for high density housing; there's nothing specific to friends / family here? A developer can buy a large lot and subdivide it to tiny, tiny houses. Doesn't sound pleasant to me, tbh, but high-density advocates gonna high-dense, I guess.
1) Has 500k just laying around ready buy a house out of the blue ...
2) ... that also happens to be an almost identical house next to yours.
So, 99.9999% of times it goes into the market, and the other parties feel betrayed, but the seller wants (or needs!) to sell, and things get ugly, brothers stop being brothers, etc ...
I wouldn't do it.
I also don't like the idea of having friends/family right next to me. Same neighborhood is really really nice, but same lot? Nah!
There was a time in my 30s when I was a part of a very close-knit group of friends. We actually talked about the idea of building a friend compound, perhaps much later in life during our retirement years, and we were enthusiastic about it.
These days (mid-40s now), I'm still friends with all those people, but I agree that I don't need them to be on the same lot with me. I would love it if we all lived in the same neighborhood, though. Fortunately we're almost all still in the same city, at least.
in the meantime the actual buyer leaves
It's also worth mentioning that in California urban regions, where such a law is most applicable here, the townships are fairly highly regulated to the point of being a quasi-HOA. Specifically, various housing developments may have bylaws and rules - no HOA - but bylaws and rules enforced by the local city and burned onto the property deed. A true to life HOA in Idaho or Wyoming, for example, may offer more freedom and flexibility than a HOA-free property subject to local government in California.
(am member/owner in family friend's family farm)