NSW Release of Life Tenancy to Get Personal Loan from Bank?

[Trish Porter]

Hi,

I am hoping to get help on releasing of life tenancy.

Currently, my stepfather is living in a unit under my name due to life tenancy provision in my mother's will. In her will, it stipulated that on her passing, he was to be provided life tenancy for and once I sold the family home. I was then obligated to provide him somewhere to reside.

The situation arose that I am looking to consolidate debts and use the unit as collateral for a personal loan but seeing that there is a life estate on the unit, it means that my unit is $0 as an asset to the banks.

My question is - if by some way I am able to get my stepfather to sign something to release the life tenancy caveat, is that enough for the banks to enable me to use the unit as collateral in obtaining a personal loan?

Thanks

 

[CathL]

Life tenancies can be tricky - how are you going with your situation? Ultimately, you're going to have to appease the bank to get the outcome you want.
If it were me, I'd invest in a bit of legal advice to progress things forward. You can find a lawyer and book to get legal advice at: Find a Lawyer & Book Online Instantly | LawTap