Q: Lived in parents house for 10yrs after parent passed away; Executor; sold for 150K; how much should I give sibling
97K mortgage was paid from 150K; utility, and home maintenance fees.
Mass probate
A:
From your question, I assume you and one sibling inherited the home, that you continued living in the home for ten years while your sibling did not, that you are the only one who made the payments mentioned, and that you have been an adult for the full ten years.
Determine the fair rental value of the home each month of the ten years you lived in the home. Divide that in half. (E.g., if the home could have been rented for $2,000 / month: $2,000 x 12 x 10 = $240,000 / 2 = $120,000). That’s what you owe for using the home but you have to subtract what you paid that your sibling owed.
Add the total amount you paid on the mortgage, PMI, taxes, and maintenance and divide that by 2. Do not include utilities because the occupant would normally be responsible for their own utility usage. Say that total is $80,000.
Subtract that number from the first calculation which in this example yields $40,000.
Add that to half the net proceeds from the sale of the home. In this example, you would owe $75,000 + $40,000 = $115,000 to your sibling.
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