Partition and Forced Sale of an Inherited Home under Georgia Law
Detailed Answer
If you co-own real estate inherited from your father and you cannot reach agreement with your co‑owner (for example, a sibling), Georgia law allows a co‑owner to ask the court to divide the property or to order its sale and split the net proceeds. This is called a partition action. Below is a clear, step‑by‑step explanation of how that process usually works in Georgia, the legal basis, what the court can do, and typical practical issues to expect.
Legal basis
Partition procedures and a court’s power to divide or order sale of jointly owned real property are set out in Georgia statute (see O.C.G.A. Chapter 6, Title 44). For the statutory text and related provisions, see the Georgia Code on the Georgia General Assembly website: O.C.G.A. Title 44, Chapter 6 (Partition). The court that hears a partition case will typically be the superior court in the county where the property is located.
Typical factual setup (hypothetical)
For example: your father died owning a house in his name only. Two children inherit as tenants in common (each owns a share). One child wants to keep and live in the house; the other wants the asset sold and proceeds divided. If the co‑owners cannot reach an agreement, the dissatisfied co‑owner can file a partition action to force sale.
Step‑by‑step: How a forced partition sale usually proceeds
- Confirm ownership and shares. Determine how title passed (will, intestacy). Obtain a copy of the deed, the will (if any), death certificate, and perform a title search to determine current legal owners and any recorded liens or mortgages.
- Try negotiation or mediation first. Courts expect parties to try to settle. A buyout (one co‑owner buying the other’s share), a deferred sale, or a written agreement on occupancy and expense sharing can avoid litigation. Mediation is often faster and cheaper than court.
- File a partition complaint in superior court. If settlement fails, the next step is filing a complaint for partition in the superior court of the county where the property sits. The complaint names all co‑owners and any lienholders. The complaint asks the court to divide the property (partition in kind) or, if division is impractical, to order a sale and allocate proceeds.
- Court issues process and examines claims. The court will determine legal ownership and whether partition in kind is practicable. If the property can be physically divided in a fair way, the court may order partition in kind. For most single‑family homes, physical division is impractical, and the court will order sale.
- Appointment of a commissioner/official to handle sale. When the court orders a sale, it commonly appoints a commissioner, sheriff, or other official to advertise and conduct the sale under court supervision according to statutory and court rules.
- Notice, advertising, and sale. The appointed official will arrange the sale, give required notices, and follow statutory advertising and bidding procedures. Sale proceeds are applied to any mortgages, liens, taxes, and court‑ordered costs, with the remainder divided among owners according to their ownership shares.
- Distribution and final judgment. After the sale and payment of costs/liens, the court enters a final judgment specifying each owner’s net share and closing the partition matter.
Common legal complications
- Mortgages and liens: Lenders with recorded liens must usually be paid out of sale proceeds; a mortgage can make partition more complex.
- Homestead and survivorship claims: A surviving spouse or other statutory claimants may have rights that affect partition—confirm the decedent’s probate and any survivorship interests.
- Possession and occupants: If a co‑owner occupies the house, the court can still order a sale. The court may also impose temporary orders about possession, maintenance, insurance, and payment of ongoing expenses while the litigation proceeds.
- Costs and timing: Partition litigation can take months to over a year depending on complexity. Costs include court fees, attorney’s fees, appraisals, sale commissions, and the commissioner’s fees.
- Tax consequences: Sale proceeds allocation and capital gains basis issues can have tax consequences. For inherited property, the basis is typically stepped up at death, but you should consult a tax advisor.
Evidence and documents you should gather before filing
- Deeds and title documents.
- Death certificate and any will or probate paperwork.
- Mortgage statements, tax bills, HOA documents, insurance policies.
- Recent appraisals or market listings for nearby comparable sales.
- Any written communications or agreements with the co‑owner about the property.
Where the action is filed and who hears it
Partition actions are typically filed in the superior court of the county where the real property is located. That court has the power to order sale or division and to appoint officials to carry out the court’s orders.
When to consult an attorney
Because partition involves property law, title issues, probate overlap, and possible creditor claims, consult a Georgia attorney experienced in real estate or probate litigation before filing. An attorney can help evaluate whether a buyout, mediated settlement, or partition filing best serves your interests and can prepare pleadings and represent you in court.
Relevant statutory reference: See O.C.G.A. Title 44, Chapter 6 (Partition). Official text and chapter navigation are available at the Georgia General Assembly’s site: https://www.legis.ga.gov/georgia-code/title-44-property/chapter-6.
Helpful Hints
- Start with a calm, documented conversation. A written buyout offer can end the dispute quickly.
- Get a professional appraisal so you and your sibling agree on value before negotiating.
- Check for any mortgage, tax liens, or HOA assessments that will reduce net proceeds.
- Consider mediation before filing. Courts often require or encourage settlement efforts.
- If you must file, hire a Georgia attorney who handles partition and probate litigation.
- Ask the attorney about temporary orders for possession, maintenance, utilities, insurance, and payment of ongoing expenses while the case is pending.
- Keep meticulous records of any payments you make for upkeep or taxes—this can affect distributions.
- Consult a tax advisor about capital gains, basis, and possible tax reporting after sale.
- Understand cost allocation: filing fees, appraisals, sale commissions, and attorney fees will come out of net proceeds unless the court orders otherwise.