Detailed Answer
Short answer: In a Florida partition sale the court divides net sale proceeds according to each co-owner’s legal interest in the property after paying liens, taxes, and sale costs. If one co-owner advanced money for mortgage payments, taxes, insurance, or made improvements, the court can order credits or reimbursements before the final split. The governing law is Florida’s partition statutes (Chapter 64, Florida Statutes).
How the court calculates the split — step by step
- Identify each owner’s legal share. The first step is to determine ownership percentages from the deed or title records. Tenants in common are typically split according to the fractional interests shown on title (1/2, 1/3, etc.). If title does not fix shares, the court may presume equal shares unless evidence shows otherwise.
- Determine liens and priorities. Mortgages, tax liens, and recorded judgments remain attached to the property and are normally paid out of the sale proceeds in priority order. The partition process doesn’t eliminate valid liens; it converts them into claims against sale funds. (See Florida’s partition statutes: Chapter 64.) Florida Statutes, Chapter 64 (Partition)
- Pay sale and court costs. The court pays partition costs from the gross proceeds. That includes court costs, the commissioner’s or special master’s fees, title and closing costs, advertising and notice expenses, broker commissions (if any), and costs to prepare the property for sale.
- Resolve claims for advances and reimbursements. If one co-owner paid mortgage installments, property taxes, insurance, or made repairs or improvements, that owner can ask the court for an accounting and reimbursement out of the sale proceeds. The court will consider equitable factors and any proof (receipts, canceled checks, mortgage statements) when deciding credits. The result: the paying owner gets a credit against the amount otherwise distributable to them, or the other owners receive a corresponding charge.
- Distribute net proceeds according to the court’s order. After liens, taxes, sale costs, and any court-ordered credits are satisfied, the remaining funds are distributed to co-owners according to their legal shares as adjusted by the court’s accounting. If disputes remain, the court issues a final judgment allocating proceeds.
Common allocation scenarios
- If title shows Owners A (50%) and B (50%), and there are no liens or credits, each receives 50% of net proceeds.
- If Owner A paid the mortgage for two years and can prove the payments, the court may give A a dollar credit for those payments before splitting the remainder per ownership shares.
- If the property is subject to a mortgage, the mortgage typically is paid first from sale proceeds, and only the surplus (if any) is split among owners.
Special ownership forms and exceptions
- Joint tenancy vs. tenancy in common: Joint tenants usually have equal shares and rights of survivorship; the split at sale follows the recorded interests. Tenancy in common allows unequal shares and may produce unequal distributions.
- Tenancy by the entirety (married couples): Property held as tenancy by the entirety is treated differently in Florida; one spouse generally cannot force a partition against the other. If you think the property is held this way, tell your attorney because a partition action may not be available.
Example (hypothetical numbers)
Two tenants in common, A (60%) and B (40%), sell property under a court-ordered partition for a gross price of $300,000. There is a mortgage of $100,000 and sale costs (commissions, closing, court fees) of $20,000. Owner A paid $6,000 of tax and insurance advances and petitions the court for reimbursement.
- Gross sale: $300,000
- Less mortgage payoff: $100,000 → $200,000 remaining
- Less sale/court costs: $20,000 → $180,000 remaining
- Less A’s documented reimbursements: $6,000 → $174,000 net distributable
- Distribute according to shares: A (60%) = $104,400; B (40%) = $69,600
Note: If the court awarded A the $6,000 reimbursement as a priority deduction, it would be handled before applying ownership percentages; courts may instead treat reimbursements as adjustments to each owner’s share depending on the evidence and equities.
Where to find the law
Florida’s partition rules live in Chapter 64 of the Florida Statutes. You can review the text here: Florida Statutes, Chapter 64 (Partition).
When to hire an attorney
If owners disagree about shares, claim reimbursements, or if liens and complex encumbrances exist, hire an attorney experienced in Florida real property and partition law right away. A lawyer can:
- Review deeds and title to confirm ownership percentages;
- Compile proof of advances, tax payments, and improvements;
- Represent you at the accounting and distribution hearings;
- Negotiate buyouts, settlements, or sale terms to avoid litigation where possible.
Helpful Hints
- Gather title documents and the deed first. Ownership percentages usually come from the recorded deed.
- Collect receipts, cancelled checks, mortgage statements, and tax bills to support claims for reimbursement or credits.
- Get a current payoff statement for any mortgage and check for recorded tax liens or judgments that must be paid from proceeds.
- Expect partition litigation to take months; courts must clear title issues, give notice, and allow time for sale and accounting.
- Consider settlement: co-owners often avoid costlier court splits by negotiating a buyout or private sale and division per agreement.
- Tax effects vary: proceeds distribution can create capital gains, and reimbursements can affect basis. Consult a tax professional about reporting.
- If you are charged with paying property-related expenses during the partition, keep meticulous records and get receipts—courts rely on documentation.
- If the property is held by a married couple as tenancy by the entirety, consult counsel because partition rules differ and a unilateral partition may not be permitted.
Disclaimer
This article is for general informational purposes only and is not legal advice. I am not a lawyer. For advice tailored to your situation under Florida law, consult a licensed Florida attorney.