Disclaimer: This article does not provide legal advice. It offers general information under Idaho law. Consult a licensed attorney for advice on your specific situation.
Detailed Answer
Under Idaho law, paying a mortgage on real property does not automatically give you an ownership interest. The key factor is whose name appears on the deed. In Idaho, the deed determines legal title. If you are not on the deed or party to a recorded agreement granting you rights, you hold no formal interest, even if you make all the mortgage payments.
The property owner (the mortgagor) has title, and the lender holds a security interest. Your payments reduce the owners debt, but do not change title unless:
- You are added to the deed by a grant deed or similar instrument.
- You and the owner sign a written agreement creating an equitable or resulting trust.
- You hold an interest under a recorded contract for deed or land sale contract.
Idaho treats mortgage-related documents as deeds of trust. See Idaho Code 7 45-1501 et seq. (Trust deeds as security for debt). The statutes outline how title and security interests interact, but they do not establish ownership rights based solely on payment.
If you contribute to purchase or improvements based on a mutual understanding, Idaho courts may impose an equitable lien or constructive trust to prevent unjust enrichment. However, you must prove:
- A clear agreement (written or inferred) that you would obtain an interest.
- Your reliance on that agreement when making payments.
- Injustice if the owner retains all the benefits.
Helpful Hints
- Always record any ownership agreement. Unrecorded agreements may lack enforceability.
- Ask the property owner to add you to the deed via a quitclaim or grant deed.
- Keep documentation of all payments and communications about ownership expectations.
- Consider a land sale contract if you intend to buy the property over time.
- Consult an attorney before relying on equitable remedies like constructive trusts.