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If the buyer pays for a real property with someone else's money, is there consideration?

Key Biscayne, FL |

My understanding is that a deed to real property can be ineffective for lack of consideration. What if the grantee on the deed pays for the property with someone else's money? Is there consideration?

Attorney Answers 4


  1. Consideration. Many, many hours were spent in law school debating "consideration" and how much is sufficient consideration. My contracts professor offered us all a peppercorn to demonstrate the silliness that becomes the determination of valid consideration. If the money was given to the party for the purpose of purchasing the home (as in a parent to a child), then the exchange of money from grantee to grantor is the exchange of consideration.

    Carol Johnson Law Firm, P.A. : (727) 647-6645 : carol@caroljohnsonlaw.com : Wills, Trusts, Real Property, Probate, Special Needs: Information provided here is anecdotal and should not be relied upon or considered legal advice. Every matter is different and answers given here are general in nature and may not reflect current Florida law at the time you are reading this posting. Please contact me if you feel you need additional assistance with your matter.


  2. Yes, there is consideration. Consideration is something of value that goes to the seller in exchange for his delivering the deed. It does not have to be paid by the person who receives the property.

    Disclaimer: This answer is provided for informational purposes only, does not constitute legal advice, and does not create an attorney-client relationship. Actual legal advice can only be provided after completing a comprehensive consultation in which all of the relevant facts are discussed and reviewed.


  3. Mutual promises can be consideration. It is a very ethereal issue.


  4. I agree with Marshall. Consideration is a matter solely between the Grantor and Grantee in the situation that you are describing. If the grantee gives the grantor something of value in exchange for what the grantor transfers, we have consideration. It does not matter how the grantee acquired it.

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