Detailed Answer
When some family co-owners want to convert jointly owned real estate into cash but others refuse, New York law provides a court process called a partition action that can force a sale when physical division is impracticable. The process, criteria, and likely outcomes are governed by New Yorks Real Property Actions and Proceedings Law (RPAPL), Article 9. See RPAPL Article 9: https://www.nysenate.gov/legislation/laws/RPAPL/A9 and RPAPL 901 (who may bring a partition): https://www.nysenate.gov/legislation/laws/RPAPL/901.
Who can start a partition action?
Any co-owner of real property may file a partition action in New York. That includes co-owners who hold as tenants in common or joint tenants. The court determines rights, liens, and ownership shares, and orders a division of the property or proceeds. See RPAPL 901: https://www.nysenate.gov/legislation/laws/RPAPL/901.
Two possible court outcomes
- Partition in kind the court physically divides the land so each owner receives a separate parcel. The court will order this when a fair division is practicable and does not substantially harm the propertys value.
- Partition by sale when a fair physical division is impracticable or would cause waste or significant loss of value, the court orders a public or private sale and divides the net proceeds among owners according to their interests.
How does the court decide between division and sale?
The court weighs practical and equitable considerations: size and shape of the parcel, improvements (houses, utilities, shared driveways), zoning, whether dividing would render parcels unusable, and whether division would substantially reduce overall value. If dividing would create small, awkward, or inaccessible lots, the court often orders a sale. If dividing is straightforward, the court may prefer partition in kind.
Joint tenancy vs. tenancy in common
Most family ownership disputes involve tenants in common (each owner has a distinct share). Joint tenancy includes a right of survivorship but does not bar partition; a joint tenant can still seek partition, which may sever the joint tenancy. The remedy (division or sale) still follows RPAPL rules.
Typical procedure and timeline
- Gather title documents and determine each owners legal interest (deeds, wills, trusts).
- File a partition complaint in the New York Supreme Court in the county where the property is located. The court issues process and the defendants are served.
- Discovery and possible valuation: the parties obtain appraisals and exchange evidence about practicability of division.
- Hearing and determination: judge decides whether partition in kind is feasible; if not, orders sale and directs method (public auction, broker sale, etc.).
- Sale and distribution: property is sold, costs and liens are paid, and net proceeds are divided according to ownership interests.
Timing varies. Simple cases may resolve in several months if parties cooperate. Contested matters with multiple motions, complex title or contests over valuation commonly take a year or more.
Costs and who pays
The court can allocate costs, including appraisal fees, advertising and sale costs, and attorneys’ fees. If one party acts unreasonably, the court may shift a greater share of costs to that party. Lenders liens and property taxes are paid from sale proceeds before distribution.
Alternatives to court-ordered sale
- Buyout an agreeing owner or third party buys the objecting owners share for fair market value based on appraisal.
- Partition by agreement co-owners negotiate a voluntary division or sale and distribution, which avoids court costs and delay.
- Mediation or settlement professional mediation often produces a workable compromise (delayed sale, payment plans, shared rental income).
- Refinance or cash-out owners who wish to remain but need liquidity can refinance to pay out dissenters.
Practical tips and a short hypothetical
Hypothetical: Three siblings own a single-family house as tenants in common (one owns 50% and two own 25% each). Two siblings want to sell; the third refuses. One sibling can file a partition action. If the house sits on one lot that cannot be fairly divided, the court likely orders sale and division of net proceeds by share (50/25/25), less liens and costs. However, the parties can avoid court by negotiating a buyout: the two siblings could jointly buy the 25% share, or hire a broker and split net proceeds after sale.
Where to look in the law
Primary statutory authority: RPAPL Article 9 (partition). Start at: https://www.nysenate.gov/legislation/laws/RPAPL/A9 and see who may maintain partition at RPAPL 901: https://www.nysenate.gov/legislation/laws/RPAPL/901. For filing rules and court forms, consult the New York State Unified Court System: https://www.nycourts.gov/courthelp/.
When to contact an attorney
Consider legal counsel if title is unclear, if liens or mortgages exist, if one owner threatens delay tactics, or if valuations and cost allocations are disputed. An attorney can explain rights, calculate likely net proceeds after liens and costs, draft buyout offers, and represent you in court. This article is educational and general in nature and does not create an attorney-client relationship.
Disclaimer: This is not legal advice. The information above summarizes New York law as a general guide. For advice specific to your situation, consult a licensed New York attorney.
Helpful Hints
- Collect the deed, mortgage statements, property tax bills, and any written agreements before talking to a lawyer.
- Get a current professional appraisal early to inform buyout offers or valuation disputes.
- Consider mediation before suing; it can save time and legal fees and preserve family relationships.
- If you file a partition action, expect an accounting of rents, taxes, and expenses; keep records of any money youve spent on the property.
- Be realistic about costs: sales, attorney fees, and liens reduce the money you actually take home.
- If you worry about being outvoted, remember that partition law protects minority co-owners rights and allows any co-owner to seek court relief.