Short Answer

Yes — but with limits. Lenders and taxing authorities get paid first out of sale proceeds. After liens and closing costs are paid, co‑owners typically divide the remaining net proceeds according to their ownership shares. If one co‑owner paid extra mortgage payments, property taxes, insurance, or other carrying costs, that person may be able to claim reimbursement or an equitable credit against the proceeds. Recovery depends on written agreements, the facts, and (if there is a dispute) how a Maine court applies equitable accounting in a partition or related action.

How Sale Proceeds Are Normally Distributed

When real property is sold in Maine, the sale proceeds are used in this typical order:

• Pay off recorded liens and mortgages (the lender’s mortgage is paid from the closing).
• Pay property taxes, municipal liens, and other statutory liens or special assessments that have priority.
• Pay closing costs and seller obligations agreed in the purchase contract (e.g., real estate commissions, agreed seller credits).
• Divide the remaining net proceeds among the owners according to the ownership interests (tenancy in common, joint tenancy, etc.) or according to any agreement among the owners.

Because mortgages and tax liens are paid first, a co‑owner who personally paid the mortgage or taxes often ends up reducing the secured debt or charges against the property rather than receiving an immediate cash reimbursement at closing.

When a Co‑owner Can Get Reimbursed for Carrying Costs

A co‑owner who paid carrying costs (mortgage payments, property taxes, insurance, major repairs) may be entitled to reimbursement if one of the following applies:

• There is a written agreement (lease, co‑ownership agreement, divorce settlement, or other contract) that says the paying owner should be reimbursed or have a credit.
• The nonpaying co‑owners consented (in writing or by clear conduct) to the paying co‑owner being reimbursed.
• The matter goes to court (for example, a partition action), and the court orders an accounting and awards an equitable credit because the payments preserved the property or benefited all owners.

Without an agreement, recovery is factual: a Maine court will examine whether the payments were made voluntarily to preserve the property, whether they benefited all owners, and whether equity supports a credit. Courts commonly allow reimbursement for necessary payments that preserved the property’s value, though they may reduce reimbursement if the paying owner gained an advantage or acted without notice to others.

Mortgage Payments vs. Paying Off the Mortgage

There is a practical difference between:

• Making regular mortgage payments (interest and principal) while the mortgage remains the property’s lien — these payments typically reduce the outstanding loan balance and may entitle the payer to reimbursement or an equitable lien/credit in a dispute.
• Paying off the mortgage entirely — that act removes the lien and clearly benefits all owners because it increases the unencumbered equity. That often supports a stronger reimbursement or lien claim if other owners did not contribute.

Common Carrying Costs That May Be Recoverable

• Mortgage principal and interest payments when made to preserve the property.
• Municipal property taxes, tax liens, and special assessments that would otherwise jeopardize the title.
• Necessary insurance premiums to protect the property from loss.
• Major, value‑preserving repairs or maintenance (e.g., fixing a leaking roof to prevent structural damage).
• Utility bills and expenses necessary to maintain the property until sale.

Cosmetic repairs or discretionary spending that benefits only one owner are less likely to be reimbursed.

What Maine Law Says (Statutes and Remedies)

Maine law provides tools for co‑owners who cannot agree about a property sale or division. A partition action lets a co‑owner ask the court to divide or sell the property and direct how proceeds should be distributed. The court has equitable powers to order an accounting or to adjust shares to reflect payments that preserved the property.

For the text of Maine statutes on civil actions and partition, see the Maine Revised Statutes at the Legislature’s website: https://legislature.maine.gov/statutes/. A partition action is governed by the statutes in Title 14 (Civil Rights and Practice); see the provisions about partition and related remedies on the Maine Legislature site for details: https://legislature.maine.gov/statutes/14/title14sec6321.html.

Because outcomes depend heavily on facts and sometimes on case law, parties often use an accounting claim in a partition action or file a separate claim for unjust enrichment or equitable lien to seek reimbursement.

How Courts Typically Decide Disputes About Carrying Costs

Maine courts will generally consider:

• Whether the payments were necessary to protect the property or merely voluntary.
• Whether the payments benefited all owners (for example, paying taxes preserves clear title for all).
• Whether there was a written agreement or express understanding about contributions and reimbursement.
• Which owner had a superior equity claim based on contributions to principal, improvements, or mortgage payoff.

If the court finds reimbursement appropriate, it can (depending on the case) order repayment from sale proceeds, award a lien against the property, or adjust the owners’ shares at partition.

Practical Steps to Protect Your Right to Reimbursement

1. Keep meticulous records: bank statements, canceled checks, receipts for taxes, insurance, and repairs, and proof of mortgage payments. Documentation is the strongest evidence in an accounting claim.
2. Try to get written agreements: whenever possible, document any agreement among co‑owners about who pays what and whether those payments will be reimbursed or credited.
3. Notify co‑owners in writing when you make significant payments so they cannot later claim ignorance.
4. At sale, request a clear closing statement that shows how liens, taxes, and closing costs were paid and how net proceeds will be divided.
5. If co‑owners disagree, consider mediation or negotiation before filing court actions — settlements are faster and cheaper than litigation.
6. If negotiation fails, consult an attorney to discuss an accounting, partition action, or filing a claim for unjust enrichment or an equitable lien in Maine court.

When to Talk with an Attorney

If the amounts are large, if co‑owners dispute ownership shares, or if another owner refuses to account for payments, talk to a Maine attorney. An attorney can review your documents, explain whether to seek reimbursement by negotiation or in court, and estimate likely outcomes based on the facts. If you decide to sue, the lawyer can prepare and file the appropriate claims (partition, accounting, lien, or unjust enrichment).

Helpful Hints

• Document everything — receipts and bank records often decide reimbursement claims.
• Paying off a mortgage entirely creates clearer rights to reimbursement than paying individual monthly payments, but courts still evaluate fairness and notice.
• Property taxes and municipal liens are priorities — paying them commonly supports reimbursement since unpaid taxes can cloud title.
• Insist on a written co‑ownership agreement for future shared properties to avoid disputes.
• Consider mediation early — it can preserve relationships and save money compared to litigation.
• Check municipal records and the title to confirm what liens existed and when you paid them.