How to Obtain Court Approval to Sell an Inherited Home with Minor Co-Owners in New York

Short overview: When a home is inherited and at least one co-owner is a minor, a court usually must approve any sale. The exact process depends on how the minor owns the property (through an estate, tenancy in common, joint tenancy, or other vehicle). In New York, approval typically comes through Surrogate’s Court (if the property is part of a decedent’s estate) or Supreme Court in a partition action. Minors cannot legally transfer clear title on their own; the court protects their interest by appointing a representative (guardian or guardian ad litem) and by supervising the sale and how the proceeds are held or distributed.

Step-by-step process (typical paths)

1. Identify how the minor holds the interest.
   • Is the property part of an estate being administered in Surrogate’s Court? (If yes, the executor or administrator will petition the Surrogate’s Court for authority to sell.)
   • Is the property owned directly by co-owners (e.g., tenants in common) where the minor is a co-owner? (If yes, a partition action in Supreme Court is often used to force a sale or division.)
   • Was the property held in joint tenancy or with designation that causes automatic transfer? (If title already passed, the minor still has an interest that the court may need to protect.)

   Surrogate’s Court oversees estate administration in New York. See the Surrogate’s Court Procedure Act and related provisions: SCPA (New York).

2. Determine who must file the petition and in which court.
   • If an executor or administrator holds title as part of an estate, that fiduciary petitions Surrogate’s Court for sale authority and instructions for distributing proceeds.
   • If co-owners (including a minor) cannot agree and sale is desired, an interested adult can file a partition action in Supreme Court asking the court to sell the property and distribute net proceeds. Partition statutes and procedures are in the Real Property Actions and Proceedings Law: RPAPL (New York).
3. Protect the minor’s interest—appointment of a representative.
   • The court will require representation for the minor. That often means appointing a guardian ad litem or permitting a parent/guardian of the infant’s property to act under court supervision.
   • New York civil practice requires special representation for infants in litigation: see CPLR §1201 on representation of infants: CPLR 1201.
4. File the petition and provide required notices.
   • The petition must describe the property, ownership interests, the reason for sale (e.g., to pay debts, to liquidate an estate, or because co-owners cannot agree), and the proposed terms (public sale, private sale subject to court approval, listing price, broker, etc.).
   • Court rules require notice to interested persons: beneficiaries, heirs, co-owners, known creditors, parents or guardians of the minor, and sometimes the Attorney General when minors or incompetents are involved.
5. Court hearing and judicial review of the proposed sale.
   • The judge evaluates whether the sale is in the minor’s best interest, whether sale terms are fair, and whether to authorize appointment of a guardian for property or direct how proceeds are handled.
   • The court may require an appraisal, a real estate broker’s opinion, or competitive bidding to ensure the sale fetches fair market value.
6. Sale process once the court approves.
   • If authorized, the fiduciary or appointed representative proceeds with the sale as the court directs (public auction, brokered sale with court-confirmed contract, etc.).
   • The court will typically require a final accounting and will either authorize distribution of proceeds or order that funds be held in a blocked account or in a guardianship account for the benefit of the minor until the court permits distribution (commonly at age 18 or later if the court orders). If the property is part of an estate, the Surrogate’s Court handles accounting and distribution under estate procedures: SCPA (New York).
7. If proceeds are held for the minor.
   • Court-supervised accounts or guardianship-of-property accounts typically hold funds for minors. The court will oversee investments, disbursements for the child’s support and education, and final distribution at the legally specified age or under court order.

Common variations and special issues

• If one adult owns the property jointly with a minor as joint tenant, title issues differ—consult a lawyer because the right of survivorship or the way title passed can change who must be a party.
• If the sale is to pay estate debts or taxes, Surrogate’s Court has priority rules on using estate assets. See SCPA for estate administration rules: SCPA (New York).
• If co-owners agree to sell and the minor’s parent/guardian consents, the court still typically must approve to protect the minor’s interest unless the minor’s interest is already vested and not subject to supervision.
• There may be federal disclosures and local municipal requirements (e.g., lead paint disclosures, seller property condition disclosures) regardless of the court process.

Documents and evidence you’ll usually need

• Death certificate (if sale comes through an estate).
• Recorded deed(s) showing title and how each person holds title.
• Letters testamentary or letters of administration (if an executor/administrator handles the sale).
• Appraisal or broker’s market analysis.
• Identification for adult parties and proof of guardianship or parentage for the minor’s representative.
• Proposed contract of sale and proposed order for the court to sign.

Where these actions are filed

Estate sales and authority given to executors/administrators are handled in Surrogate’s Court. Partition actions and some other claims are filed in New York State Supreme Court (trial-level court for civil matters). See partition statutes: RPAPL (New York). For representation rules for infants in civil actions, see: CPLR §1201.

Helpful Hints

• Start by confirming title. Pull the deed and chain of title at the county clerk’s office or online to see how the minor’s interest is described.
• If the property is part of a probate estate, locate the will and letters testamentary/administration—these control who can act on behalf of the estate.
• Expect the court to require an appraisal or competitive marketing to show the sale is fair to the minor.
• Budget time and money: court petitions, notices, hearings, appraisals, accounting, and possible bond requirements add weeks/months and legal fees.
• Keep records of all communications and receipts. Courts require detailed accounting before allowing distributions from a sale involving minors.
• If you need money for the minor’s care before a sale, petition the court for interim distributions rather than taking funds without approval.
• Ask the court about interest-bearing blocked accounts or guardianship accounts for minors’ proceeds—banks and courts have standard practices for holding such funds.
• Do not sign away a minor’s interest without court approval. Transactions made without required court authority risk being voidable and can trigger litigation.