Frequently Asked: Dividing or Selling Jointly Owned Real Estate After Divorce in Oregon

Short answer: If you still co-own real property with your ex in Oregon, your main options are (1) reach a voluntary transfer or buyout agreement, (2) sell the property by mutual agreement, or (3) ask the circuit court to order a judicial partition (sale or division). Which route makes sense depends on how title is held, whether a divorce judgment already addressed the property, any outstanding mortgage or liens, and whether the parties can agree. This article explains each option, likely court procedures under Oregon law, practical steps, costs, and evidence you should gather.

Detailed answer — legal options and how they work in Oregon

1. Check the divorce judgment and the deed first

Before taking any step, review the divorce decree (dissolution judgment) and the deed to the property. If the divorce judgment awarded the property to one party, you may be able to enforce that judgment in circuit court. If the deed or title after the divorce shows joint ownership (for example, tenants in common or joint tenants) and the decree did not assign the property, the co-owners remain co-owners and the remedies below apply.

Relevant statute for dissolution procedures: Oregon Revised Statutes (ORS) chapter 107 (dissolution of marriage). See ORS chapter 107: https://www.oregonlegislature.gov/bills_laws/ors/ors107.html

2. Negotiate a voluntary split: sale, buyout, or deed transfer

Most co-owners agree on one of these paths because negotiation saves time and legal fees.

Mutual sale and split proceeds: List the property and sell it; divide sale proceeds according to ownership shares, liens, and any written agreement.
Buyout: One co-owner buys out the other’s share. That usually requires arranging refinance or new financing to remove the other owner from the mortgage and deed.
Deed transfer with settlement: Transfer title to one party in exchange for money or other property, documented in a written settlement agreement and recorded deed.

Advantages: fastest, cheapest, and gives parties control over timing, pricing, and division. If both agree, have a written agreement, and record any deed changes.

3. Mediation or settlement negotiation

If direct negotiation stalls, consider mediation. A neutral mediator can help break deadlocks and preserve more of the sale proceeds for the owners. Courts in Oregon often encourage or require mediation in family or civil disputes before trial.

4. Judicial partition (court-ordered division or sale)

If you cannot reach agreement, Oregon law provides a partition action—a lawsuit to divide or sell jointly owned real property. The partition process is governed by ORS chapter 105. You bring a partition action in the circuit court where the property is located.

Partition in kind: The court can divide the property into separate physical parcels when a fair division is practicable.
Partition by sale: If physical division is impracticable or would damage the value (typical for single-family homes), the court orders a sale and divides the proceeds among co-owners according to ownership interests and liens.

See ORS chapter 105 (partition actions): https://www.oregonlegislature.gov/bills_laws/ors/ors105.html

What the partition lawsuit can address

Who owns what percentage (court looks to deed, agreements, and evidence)
Order a physical division if practical
Order a sale and divide net proceeds after mortgages, liens, taxes, and court costs
Determine occupancy and payment of rents or profits (court can account for a co-owner living in the property and require an offset)

Practical features of partition:

Partition actions are contested civil lawsuits. Expect pleading, service, possible discovery, motions, and a trial if no settlement.
Court costs and attorney fees can be substantial; sometimes the court can allocate costs between parties, but not always.
Partition can take many months (commonly a year or more when contested).

5. Other related remedies and considerations

Enforce a divorce decree: If the decree awarded the property to one party and the other refuses to comply, you can ask the court to enforce the decree (contempt or motion to enforce).
Quiet title: Use if there are conflicting claims to title or cloud on title; quiet-title actions resolve competing claims but do not on their own divide or sell property.
Mortgages and liens: Outstanding mortgages remain on the property until paid; a buyout buyer typically refinances to remove the other co-owner from the mortgage. Liens are paid from sale proceeds in a partition sale before distribution.
Possession and occupancy: Co-owners each have the right to possession. If one co-owner excludes another, the excluded co-owner may seek relief from the court rather than attempt self-help eviction.
Taxes and capital gains: Selling or transferring property has tax consequences; consult a tax advisor about basis, capital gains, and 1031 exchanges if applicable.

Evidence and documents you should gather

Before negotiating, mediating, or filing a partition action, collect:

Recorded deed and any recorded transfers
Divorce judgment and marital settlement agreements
Mortgage statements, payoff amounts, lien searches
Property tax bills and assessments
Receipts for improvements, repairs, and payments toward mortgage or property expenses (if seeking credits)
Lease agreements or records of rental income if the property was rented

How ownership share is determined

Ownership share usually comes from the deed language: joint tenants, tenants in common, or other legal instruments. If shares are unclear, a court looks to evidence—deeds, transfer documents, and parties’ conduct. A divorce decree or written agreement can control if it clearly expresses the parties’ allocation.

Timeline and costs — what to expect

Mediation or settlement: days to months; costs vary but generally far less than litigation.
Partition lawsuit: several months to a year or longer if contested; court costs, attorney fees, appraisal and title expenses, and sale costs will reduce the net proceeds.
Buyout with refinance: depends on mortgage underwriting; plan for appraisal, closing costs, and possible mortgage qualification delays.

When to consult an attorney

Consult an attorney if any of the following apply:

The divorce judgment did not divide the property or is ambiguous.
Title documents are unclear or there are competing claims.
One party resists cooperating with sale, refinance, or deed transfer.
There are complex liens, tax issues, or substantial equity at stake.

Relevant Oregon law and resources

Partition actions — ORS chapter 105: https://www.oregonlegislature.gov/bills_laws/ors/ors105.html
Dissolution of marriage statutes — ORS chapter 107: https://www.oregonlegislature.gov/bills_laws/ors/ors107.html
Oregon Judicial Department — self-help and court procedures: https://www.courts.oregon.gov/self-help/Pages/default.aspx

Helpful Hints

Start by reviewing your deed and any divorce paperwork—sometimes the solution is already written down.
Talk to your ex about a written buyout or sale agreement before filing a lawsuit; mediation is cheaper than court.
Gather mortgage payoffs, receipts for improvements, tax records, and the deed before meeting an attorney.
Remember that a partition sale will deduct liens, closing costs, and court costs from the proceeds—factor those into negotiations.
If you plan a buyout, get a pre-approval for financing to show the other side you can close quickly.
Do not attempt to forcibly remove a co-owner from the property; use court procedures—self-help can lead to legal trouble.
Ask your attorney about seeking an accounting for rents and profits if one party has been occupying the property without paying fair compensation.

Disclaimer: This article explains general Oregon law and common legal options but is not legal advice. Every situation is different. Consult a licensed Oregon attorney to apply the law to your facts and to represent you in negotiations or court.