{"id":948,"date":"2020-08-06T06:00:41","date_gmt":"2020-08-06T10:00:41","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=948"},"modified":"2024-04-25T23:20:30","modified_gmt":"2024-04-26T03:20:30","slug":"the-partition-of-property","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/the-partition-of-property\/","title":{"rendered":"The Partition of Property"},"content":{"rendered":"\n

What to Do When Co-Owning a Home Doesn\u2019t Work Out<\/h2>\n\n\n\n
\"Image<\/figure><\/div>\n\n\n\n

What happens when co-owners decide not to co-own any more? if\nan owner wants to voluntarily come off the title, no problem. The\nco-owners prepare a new deed to convey that person\u2019s interest, with a new title\nreflecting the desired ownership. And if multiple heirs who co-own a property\nwant to sell it and divide the proceeds, then all they need is a buyer. <\/p>\n\n\n\n

But what happens when two or more people with a shared a\ntitle or interest in a property disagree on how to handle their ownership \u2014 but\nno one wishes to relinquish an ownership interest to the other? Then both (or\nall) remain owners. Even\nif an owner previously \u201cadded\u201d someone else to the deed<\/a>, that\nsecond person has a right to continue owning. <\/p>\n\n\n\n

Sometimes adult siblings or cousins reach an impasse on how\nto use an inherited family property. Partners in an investment venture might run\ninto basic disagreements, such as whether to rent the property out or prepare\nit for sale. Family members might buy a house together, only to find their relationship\ngradually turning sour. If nobody will budge from their position, a change can\nonly be forced through partition. <\/p>\n\n\n\n

The partition of a property can be voluntary, or it can\noccur when one of the owners sues the other(s) and obtains a court-ordered partition.<\/p>\n\n\n\n\n\n\n\n

Voluntary\nPartition <\/h2>\n\n\n\n

Voluntary partition involves a written agreement through\nwhich the property is relinquished a co-owner. All the property\u2019s owners must\nbe involved and all must sign the agreement. If there\u2019s no way to achieve the\npartition on a voluntary basis, a judge will have to order it.<\/p>\n\n\n\n

If a court orders a sale, no co-owner can call it off \u2014\nalthough owners are allowed to bid on the property if it goes through a\nsheriff\u2019s sale. The court may have provisions for owners to bid using credit based\non their vested interests in the property.<\/p>\n\n\n\n

But a forced partition action is contentious and costly and\nlong. It\u2019s best avoided. A court-ordered sale is unlikely to happen at the\noptimal time for anyone. It will involve steep legal fees and, probably, a low\nsale price. If there\u2019s a mortgage, the owners will still have to pay whatever\npart of the loan the sale proceeds don\u2019t cover. <\/p>\n\n\n\n

Can the parties avoid these complications? Can they have the\nproperty appraised, draw up an agreement, and have one buy the other out for a\nfair price? If not, can they put the parcel up for sale and divide the proceeds\naccording to the way their interests\nare vested on the title<\/a>? In all likelihood, the first thing the\ncourt will do in a case for a partition is ask these very questions. <\/p>\n\n\n\n

Courts also suggest mediation under the relevant provisions\nof their states\u2019 laws. A mediator \u2014 a professional, neutral party who works with\nthe co-owners to \u201cget to yes\u201d\u2014 might help tailor the outcome in a more\nappealing way than the court would, and save the owners a lot of time and money\nin the process.<\/p>\n\n\n\n

Court-Ordered\nPartition<\/h2>\n\n\n\n

If it\u2019s impossible for the co-owners to work through their\ndifferences, then the county court must effect a partition. Because the law\ndoes not want to force a person to co-own property who doesn\u2019t want to, the\npartition should be granted if the plaintiff meets the state criteria. <\/p>\n\n\n\n

There are very few exceptions to this general rule. In rare\ncases, a provision in a will could bar partition, or a written agreement could\nexist in which the co-owners expressly agreed not to partition the property. But\nif there are no exceptional situations, a court should grant the partition.<\/p>\n\n\n\n

There are two ways for the court to order the partition.<\/p>\n\n\n\n