Selling a Co-Owned Property in Louisiana to Pay Funeral and Property Tax Expenses

Quick answer: In Louisiana, co-owners (owners in indivision) can sell a co-owned property either by mutual agreement or by asking a court to divide or order a sale (partition). If the property is part of a decedent’s estate, you must address the succession process so estate debts (including funeral costs and delinquent property taxes) can be paid from the estate before distributing net proceeds. If co-owners cannot agree, a judicial partition (sale by licitation) can force a sale and produce proceeds to cover those expenses. This article explains the typical steps, legal tools, and practical tips under Louisiana law.

Disclaimer

This is general information and educational content only. It is not legal advice. Consult a licensed Louisiana attorney about your specific facts before taking legal action.

Detailed Answer

1. First confirm ownership and whether the property is part of an estate

Check the deed at the parish clerk of court to see who holds title and in what form (joint owners, heirs listed, community property, etc.).
If a co-owner recently died, determine whether the property is still in indivision as part of a succession. Successions must be opened and the estate’s assets identified before you distribute proceeds to heirs.

2. Understand the different routes to sell

Voluntary sale by agreement: If all co-owners agree, they can list and sell the property like any other real estate sale. Proceeds go to pay liens, taxes, funeral and estate debts, and then to owners in their share proportions (or as dictated by a succession settlement).
Sale by the succession representative (executor/administrator): If a succession is opened and the succession representative has authority (by agreement of heirs or court authorization), the representative can sell estate property to pay valid debts, including funeral bills and taxes.
Judicial partition (sale by licitation): If co-owners cannot agree, any co-owner may file a partition action in court asking for division in kind or for the property to be sold and the proceeds divided. The court can order sale by licitation (public auction) and distribute the net proceeds after paying liens and costs.

3. How funeral expenses and property taxes fit in

Funeral and burial expenses are claims against the decedent’s estate. They generally must be presented and paid from estate assets before heirs receive distributions. If the estate lacks liquid assets, selling estate property may be necessary to satisfy these claims.
Property taxes (ad valorem taxes) are liens on real property. Delinquent taxes can lead to penalties, interest, and tax sale procedures administered at the parish level. A tax lien typically must be paid out of sale proceeds or cleared before title transfers free and clear.
When selling, title companies and buyers will require payoff of mortgages, tax liens, and other recorded encumbrances out of the sale proceeds at closing.

4. Typical step-by-step process

Gather documents: deed, death certificate (if applicable), any mortgage statements, tax bills, and communications with funeral providers.
Talk to the co-owners: Try to reach agreement on sale, listing price, and how to use proceeds to pay funeral and tax bills. A signed agreement avoids court costs and speeds the process.
If a succession exists, coordinate with the succession representative to confirm authority to sell or to obtain court permission if needed.
Order a title search to identify liens and encumbrances. Get payoff amounts for mortgages, tax liens, and judgments.
If co-owners agree, list and sell. At closing, the title company/payor will pay off liens and distribute net proceeds according to ownership shares or as the succession order/settlement directs.
If co-owners cannot agree, file a partition action in the appropriate parish court. Ask the court for partition in kind or for sale by licitation. The court supervises valuation, sale, and distribution of proceeds after paying liens and costs.

5. When you need court help

No agreement among owners about selling or dividing the property.
There is a dispute about who owns what share (contested succession issues).
Estate lacks a representative and creditors need payment (funeral homes may file claims).
Title problems, competing liens, or unknown heirs prevent an ordinary sale.

6. Where to find the relevant Louisiana laws and procedures

For statutes and court procedure guidance, review the Louisiana legislature’s resources on succession and partition topics. Useful searches on the official legislative site:

Search for succession and estate statutes: https://legis.la.gov/Legis/LawSearch.aspx?search=succession
Search for partition and licitation procedures: https://legis.la.gov/Legis/LawSearch.aspx?search=partition
Search for co-ownership/indivision topics in the Civil Code: https://legis.la.gov/Legis/LawSearch.aspx?search=indivision
Search for property tax law and parish tax sale rules: https://legis.la.gov/Legis/LawSearch.aspx?search=property%20tax

7. Practical considerations and costs

Court partition actions cost filing fees, sheriff/auction fees, and legal costs. Expect delays while the court schedules hearings and sales.
Voluntary sales cost typical real estate commissions and closing costs but tend to be faster and yield better net proceeds than forced auctions.
Paying urgent bills: If funeral providers demand payment, present claims to the succession representative. They may be able to negotiate payment terms or seek an expedited sale or court authorization to pay necessary expenses.

Helpful Hints

Start by getting a certified copy of the deed and the death certificate (if applicable).
Speak with co-owners and try to reach a written agreement before going to court—agreements save money and time.
Open the succession promptly if a co-owner died. That creates an official estate representative who can collect assets, pay debts, and sell property when authorized.
Order a title search early to discover mortgages, tax liens, or other encumbrances that must be paid at closing.
Contact the parish tax assessor and tax collector to confirm current tax status and the process to clear any delinquent taxes.
If you need a quick solution, consider a short-term loan from a bank or family member to cover immediate funeral bills while you arrange a sale—compare loan costs to likely proceeds from a sale.
Keep clear records of all expenses paid on behalf of the estate or property—these may be reimbursable from sale proceeds or estate funds.
When in doubt, consult a Louisiana attorney who handles successions, partition actions, or real estate closings. They can advise on court forms, timelines, and strategies to protect your interests.

If you would like, provide details about the ownership (how title is held), whether a succession exists, and whether all owners agree to sell. With those facts, a Louisiana attorney can give specific next steps and prepare any necessary documents or court petitions.