Selling a Co-Owned Property in Minnesota to Cover Funeral and Property Taxes — FAQ

Detailed answer — step-by-step under Minnesota law

1. Identify who owns the property and how

Start by checking the deed at the county recorder’s office or online. Ownership matters. Common forms are joint tenants (with rights of survivorship) or tenants in common. If the decedent owned a share, determine whether that share passed outside probate (by survivorship or beneficiary designation) or whether it entered probate and the estate controls it. If the property is held in a trust, the trustee may have authority to sell for expenses.

2. If co-owners agree, sell or buy out the interest

The fastest, least costly route is agreement. Co-owners can:

• Sell the property on the open market and split proceeds per ownership shares after paying liens and taxes.
• Have one co-owner buy out the others using a market appraisal to set price.
• Have the estate’s personal representative sell the decedent’s share if authorized by the will or by court/order in probate.

Document any agreement in writing and record required deed transfers with the county recorder.

3. If the decedent’s share is part of an estate and you need money for funeral or taxes

A personal representative (executor/administrator) handles estate assets and pays valid claims and expenses under Minnesota probate rules (see Minnesota Statutes, chapter 524). Funeral expenses and certain administrative costs are typically allowed claims against an estate. The representative can seek court authority to sell estate real estate if necessary to pay debts, taxes, and funeral expenses. For general probate rules see: Minn. Stat. ch. 524 (Probate).

4. If co-owners cannot agree: partition by sale

If owners cannot reach agreement, any owner may file a partition action in district court under Minnesota’s partition statutes. The court can order a physical division (rare for houses) or a sale and then divide the proceeds among owners per their ownership shares. The court will pay mortgages, liens, real estate taxes, and sale costs before distributing net proceeds. For the statutory scheme see: Minn. Stat. ch. 559 (Partition of Real Property).

5. Who gets paid first from sale proceeds

Sale proceeds pay secured liens first (mortgages, tax liens), then court-ordered costs (attorney fees, sale costs), then valid claims of the decedent’s estate (including allowed funeral expenses), and finally distribute remaining funds to owners by share. If the property is part of a probate estate, estate administration rules control the priority of claims and distribution.

6. Property taxes and local enforcement

Unpaid property taxes become a lien on the property and the county may enforce collection, which can include additional penalties or tax-forfeiture processes if taxes remain unpaid for years. That lien typically takes priority over unsecured estate claims, so addressing taxes promptly is important. Contact the county tax office for the exact status of tax liens and redemption procedures in your county.

7. Timeline and likely costs

Voluntary sale or buyout: could take weeks to months depending on market and title clearing. Probate sale: timeline depends on whether you can do an informal administration or need formal probate; expect months. Partition actions: often take several months to over a year depending on court schedules, title complications, and whether parties contest. Court actions add attorney fees, court costs, and sale expenses that reduce net proceeds.

8. Practical steps to take now

1. Obtain the deed and review title (county recorder).
2. Check for mortgages, liens, and unpaid property taxes with the county assessor/treasurer.
3. Talk with the co-owners to see if a voluntary sale or buyout is possible.
4. If an estate exists, contact the personal representative or probate court clerk to learn whether the estate can pay funeral costs and taxes or needs court authority to sell property.
5. If you cannot reach agreement, consult an attorney about filing a partition action under Minn. Stat. ch. 559.

9. When to get legal help

Consult a Minnesota attorney if owners disagree, title is unclear, the property is encumbered, probate is involved, or you need a court sale. An attorney can explain deadlines, prepare a partition action or probate filing, and help protect your share of the proceeds.

Helpful Hints

• Gather documents: the deed, mortgage statements, recent property-tax bills, any will or trust documents, and death certificate if applicable.
• Get a current market appraisal or broker price opinion to set a fair sale price or buyout amount.
• Address urgent tax deadlines to avoid penalties or county enforcement actions.
• If a probate estate exists, act quickly to notify the personal representative about funeral claims and necessary payments.
• Consider short-term financing for funeral costs if sale will take time; understand that borrowing affects net proceeds later.
• Keep records of all expenditures paid on behalf of the estate or the property—those can be reimbursable from sale proceeds if law and court orders allow.
• Expect court fees and attorney fees to reduce the money available from a forced sale—voluntary sales usually keep more net proceeds for owners.