Short answer

Yes — under Kentucky law you can require documentation and accounting before final division of sale proceeds, and a court can order an accounting, credits, or offsets for mortgage payments and repairs. If a co-owner refuses to provide mortgage statements or repair receipts, you can demand them in writing, ask the closing agent to hold funds in escrow, and, if necessary, ask the court in a partition or accounting action to resolve the dispute.

Detailed answer (how this works under Kentucky law)

When co-owners sell jointly owned real property, division of proceeds normally follows this order: pay liens and mortgage payoffs first, then divide the net proceeds among the owners according to their ownership shares. If one co-owner has been making mortgage payments, paying taxes, or paying for repairs, that co-owner may be entitled to be reimbursed or to receive a credit against their share of the net sale proceeds.

Kentucky law provides a court process for dividing jointly owned land and assets and for resolving disputes about contributions and credits. See KRS Chapter 381 (Partition of Lands) for the statutory framework governing partition actions in Kentucky: KRS Chapter 381 (Partition).

Key legal principles you should know

• Accounting and equitable offsets: Courts can require an accounting of payments by co-owners (mortgage, taxes, insurance, repairs) and then adjust each owner’s share accordingly. A co-owner who paid more than their share for necessary expenses generally may obtain a credit or reimbursement.
• Proof required: Mortgage statements, payoff letters, bank records showing mortgage/tax payments, receipts or invoices for repairs, contractor contracts, and canceled checks are the usual proof a court looks for to allow a credit or offset.
• Necessity of repairs: Courts typically give credit for “necessary” repairs (those that protect the property from loss or preserve value) rather than for purely cosmetic work. Documentation helps show necessity and cost reasonableness.
• Priority of liens and payoffs: Liens and mortgages attached to the property usually must be paid from sale proceeds first. The exact payoff amount is established by a lender’s payoff statement.
• Court remedies: If a co-owner refuses to provide documentation or cooperate, you can ask the court for an accounting, to appoint a receiver, to order sale and distribution subject to credits, or to impose sanctions for withholding financial information.

Practical steps you can take right now

1. Send a written demand. Request mortgage statements, lender payoff statements, evidence of mortgage or tax payments, repair contracts, invoices, and receipts. Keep proof of delivery (certified mail or email with read receipt).
2. Ask the closing agent or buyer to hold sale proceeds in escrow until the parties agree or the court resolves the dispute. A buyer or title company may agree to do this to avoid liability.
3. Collect your own records: bank statements, canceled checks, credit card records, contractor estimates, photos showing condition before/after repairs, and any correspondence about needed repairs.
4. Consider mediation. A neutral mediator can often resolve documentation disputes faster and cheaper than litigation.
5. If the co-owner still refuses, file a partition action in circuit court (KRS Chapter 381). Ask the judge for an accounting, for credits for mortgage/repair payments, and for an order requiring production of documents.

How a Kentucky court typically decides credits and offsets

A Kentucky court will evaluate whether the payments were made to preserve the property (mortgage payments to avoid foreclosure, property taxes to prevent tax sale, insurance premiums to avoid loss, or repairs necessary to prevent waste) and whether the paying co-owner was acting reasonably. If the court finds the payments were appropriate, it can award reimbursement or credit those amounts against the paying owner’s share of proceeds. Absent adequate documentation, the court is less likely to allow large credits.

When the lender’s payoff is relevant

Mortgage payoff statements come from the lender and state the exact amount needed to satisfy the mortgage as of a particular date. Closing agents rely on lender payoff statements to clear liens. If a co‑owner claims they paid down the mortgage, the lender’s statements and bank records showing payments are the controlling evidence. A co-owner cannot unilaterally alter the mortgage holder’s records; the lender’s payoff governs what must be paid at closing.

If the co-owner paid the mortgage personally (not jointly), what then?

If one co-owner alone made mortgage payments on jointly owned property, that co-owner can usually seek contribution or a credit in partition. The court will examine whether the payments were voluntary, whether they benefited all owners, and whether the paying owner gave notice or sought reimbursement. Reasonable, documented mortgage payments that preserved the property tend to justify a credit.

Helpful Hints

• Always make a written request for documents and keep copies of your request and any replies.
• Ask the lender for an official payoff statement yourself if there is any question about outstanding mortgage balances.
• Keep receipts and photos whenever you pay for repairs or improvements. Break out “necessary” repairs (roof, plumbing, systems) from purely cosmetic upgrades.
• Consider using escrow: ask the buyer or title company to hold proceeds until co-owners resolve claims or the court orders distribution.
• Weigh cost vs. benefit before suing: small-dollar disputes sometimes cost more to litigate than the amount in controversy. Mediation can save money and time.
• Talk to a Kentucky real estate attorney if the co-owner refuses to produce documents or if the amounts in controversy are significant. A lawyer can file a partition or accounting action and pursue court-ordered discovery.