When two or more people jointly own a property, one of the owners might force the sale of the property by implementing a partition action or a lawsuit.

According to statistics, of the about 1.8 million property transactions, an average of 82,000 transactions per year, 6.1% are forced transactions.

If you’re also a co-owner of a property and there’s a forced sale coming up, then here is everything you need to know.

What is a Forced Sale?

A forced sale, also known as a partition lawsuit, is a legal procedure in which any co-owner of a jointly owned property can order a court-ordered sale.

The sale takes place under court supervision and ends in the division of the property or through the sale proceeds. However, filing a lawsuit should only be considered as a last resort.

Before going to court, remember that you can also force the sale through persuasion and even the threat of a lawsuit. Here are some tips to keep in mind:

• See yourself from the other co-owner’s perspective and try to figure out what they want and why.
• See how the other co-owners might be harmed if you take matters to court.
• Explain how a voluntary sale could prevent the unnecessary time and money associated with litigation.
• Try to devise a specific course of action, such as a buyout, voluntary sale, or even keeping the property.

Disagreements in Co-ownership of Properties

Two or more people might want to co-own a property for many reasons, such as making it an appealing investment opportunity, a joint tenancy with a family member, or a vacation timeshare with a loved one.

However, when joint owners can compromise on dividing the assets and splitting the profits, there are litigation teams that are specially trained to handle court-ordered forced sales.

Another thing to remember is that any decision related to the property requires agreement from all the co-owners. This is why, when there are disagreements, mitigating them can become a challenge.

There are different reasons why co-owners might disagree on a jointly-owned property:

• One co-owner might need funds for personal use, which might prompt them to sell the property.
• One of the co-owners might decide to move somewhere else or start a family on a bigger property.
• There can be sudden conflicts over property management, such as disagreements on repairs and maintenance.
• If the property proves to be an investment, then co-owners can have different ideas, such as whether to keep or sell the property.

Partition Action on Inherited Property

As a co-owner, you must know your rights to an inherited property. Partition actions can arise in the context of probate when there’s a dispute regarding the joint ownership of a property that has been passed down from an ancestor.

Maybe multiple beneficiaries have inherited the property together through an estate or trust fund distribution.

However, if beneficiaries don’t want to jointly own the property or they can’t agree on how to divide up their interest, then a partition action can be brought and forced.

For example, when someone leaves a will mentioning the property to multiple beneficiaries, the ones who wish to terminate their obligation to the property can seek a partition lawsuit.

If you’re from California, get in touch with a reliable real estate attorney California. They will have all the knowledge about local laws and regulations, ensuring a favorable verdict.

Requirements for a Partition Action

The most basic requirement for a partition action is that you have to be the co-owner of the property. If your name doesn’t appear on the property title, you can’t file a lawsuit.

When it comes to probate, a will or a trust might designate the property to pass over to more than one estate beneficiary.

However, until the executor or trustee transfers the title to the beneficiaries, the latter will not be allowed to bring in any partition action.

For example, if the executor or trustee delays selling or transferring the property because they are living in it without paying any rent, you can claim to remove or surcharge the executor or trustee for fiduciary or financial misconduct.

How to Win a Partition Action?

You first have to pressure the other party by convincing them of a voluntary sale or by obtaining a court order for sale.

However, if you wish to stop the sale, you can win through a buyout or by asking the other owners to halt the partition action.

If any resolution fails, the party wanting the property sale will probably win the partition action.

Conclusion

As a co-owner, you need to know your rights and duties regarding a jointly-owned property. So, don’t wait anymore and get in touch with a reputable attorney today.