making a charge over a property

[suehast]

I have a friend that owes me money who cannot pay it back but would like me to put a charge over his house how do I do this

[Onlylawsite]

I have a friend that owes me money who cannot pay it back but would like me to put a charge over his house how do I do this

You need to write a document. Get a solicitor to draft it (it will need to be clear and ensure that you can get your money and specify how/when/why such a situation will arise - i.e. only at sale, because then he might never sell it.....).

Then you file it with the land registry as a class C(1) land charge IIRC.

Alternatively you could go through the Courts to get a Charging Order.

[Solad2b]

I'd personally opt for a charging order, but you would need to apply for to get a judgement (a CCJ) against the borrower first (or at the same time). It's easy. Your local County Court will be very helpful. You could add the costs to the loan. As your action is at the borrowers request the order could be granted without a hearing.

[ajaz05]

Yes you should, if your friend is unable to pay and instead of money he wants to return you in terms of his property go ahead, then it will be completely on you whether you want to keep it or sell it to get that money back. Do everything legally, if he is giving you property with his own wish make a document and get a sign by him before moving in