Pennsylvania: Can a recorded survivorship deed increase your share of foreclosure surplus funds?

Short answer: Possibly — but not automatically. In Pennsylvania, having deed language that creates a right of survivorship (for example, wording that grants property to two people “as joint tenants with right of survivorship”) can be strong evidence of your ownership interest. However, surplus funds from a sheriff’s sale are distributed according to court procedures and competing legal claims. To recover a larger share you must both (1) show a valid survivorship interest under the deed and (2 follow the court’s procedural steps for claiming surplus funds. Courts will examine the deed, other title documents, liens, and equitable claims before changing distributions.

Detailed answer — how this works under Pennsylvania practice

1. What creates a right of survivorship in Pennsylvania?

In Pennsylvania, a deed that uses clear language granting property to co-owners “as joint tenants with right of survivorship” (or similar words indicating the grantor’s intent) typically creates a survivorship interest. The actual effect depends on the deed’s wording and surrounding circumstances. If the deed unambiguously conveys an ownership interest carrying survivorship, then on the death of one co-owner the surviving co-owner generally takes full title immediately by operation of law.

For background on how deeds and property titles are governed in Pennsylvania, consult Title 68 (Real and Personal Property) of the Pennsylvania Consolidated Statutes: 68 Pa.C.S. (Real and Personal Property).

2. How are surplus funds from a sheriff’s sale handled?

When a sheriff’s (or judicial) sale of real estate produces more than is needed to satisfy liens and costs, the sale produces surplus funds. Those funds are turned over to the court for distribution. The sheriff’s return and the court’s distribution process determine who gets paid. Distribution can include payment to the foreclosed lender, prior lienholders, and then any remaining surplus to parties with legal claims to the equity of redemption or title.

Procedural rules and local practice control how claimants assert rights to surplus funds. See the Pennsylvania courts rules and local sheriff sale procedures for details: Pennsylvania Rules of Civil Procedure (Pa.R.C.P.). Many counties publish sheriff-sale claim forms and instructions.

3. Asserting a survivorship interest to get more of the surplus — proof and timing

To increase your share of surplus funds based on survivorship language you generally must:

• File a timely claim with the court that conducted the sale (often by filing a petition or claim for distribution);
• Produce the recorded deed and any related title documents showing the survivorship language;
• Show evidence that the survivorship interest was effective before the foreclosure and sale (dates, recording history, and whether any intervening conveyances or liens changed ownership);
• Address any competing interests — e.g., mortgages, judgments, IRS liens, or claims by other heirs or co-owners; and
• Be prepared for other parties to dispute your claim; the court will resolve conflicting claims and priorities.

The court will not simply split surplus money based on what a claimant asks for. It evaluates whether the claimed survivorship interest actually gave the claimant the right to all or part of the property equity at the time of sale.

4. Common reasons courts deny survivorship-based surplus claims

• Deed language is ambiguous or does not clearly create a survivorship estate.
• The deed was executed after the creditor’s lien attached, or another party had superior equitable or legal rights.
• A survivorship claim conflicts with other recorded interests (e.g., a recorded mortgage, judgment lien, or prior conveyance).
• Claimant fails to follow the procedural deadlines or filing requirements for surplus claims.

5. Practical steps to protect or assert a survivorship claim

1. Obtain certified copies of the deed(s) and the county land-records chain of title.
2. Request the sheriff’s return and sale documentation from the court or sheriff’s office.
3. File a petition/claim in the court that handled the sheriff’s sale asking for distribution of surplus funds to you. Follow the local form and timeline.
4. Serve notice on other interested parties per court rules so they can object if necessary.
5. Be prepared to present sworn affidavits, witness testimony, and title evidence proving the survivorship interest.

6. If the deed is unclear or the title is contested

If deed language is ambiguous, or if other parties contest your claim, the court may order a full hearing or direct a title quieting action (a declaratory judgment or partition action). In contested cases, the court decides equitable ownership questions based on the evidence, recorded documents, and applicable law.

7. Timing and deadlines

Each court and county may set specific deadlines for filing claims to surplus funds. If you miss the deadline, you may lose the chance to assert your claim. Act promptly once you learn of a sheriff’s sale involving the property.

Helpful hints

• Do not rely on informal statements — get certified copies of the recorded deed and the sheriff’s sale paperwork.
• Check recording dates: a survivorship deed recorded after a mortgage or lien may not override that lien.
• File claims early and follow local court forms to preserve your rights to surplus funds.
• Ask the sheriff’s office and the court clerk for their specific procedure for surplus claims in that county.
• Consider a short title search or a title abstract to reveal hidden liens or conveyances.
• If other heirs or creditors exist, expect objections; be prepared with documentary proof.
• When in doubt, consult a Pennsylvania attorney experienced in real estate, probate, or foreclosure distribution — small procedural mistakes can be costly.

Resources

• Pennsylvania Consolidated Statutes, Title 68 (Real and Personal Property): https://www.legis.state.pa.us/cfdocs/legis/LI/consCheck.cfm?txtType=HTM&ttl=68
• Pennsylvania Rules of Civil Procedure and court resources (procedures for sheriff’s sales and distributions): https://www.pacourts.us/rules-and-standards/rules-of-civil-procedure
• Pennsylvania General Assembly search (to look up statutes that may apply to a specific situation): https://www.legis.state.pa.us

Disclaimer: This article provides general information about Pennsylvania procedures and is not legal advice. It does not create an attorney-client relationship. For advice tailored to your situation, consult a licensed Pennsylvania attorney.