Can I include the mortgage, property taxes, and other carrying costs I paid in my share of the sale proceeds?

Short answer: Possibly — but it depends on how the property is titled, whether there is a contract or court order, whether the payments were required to protect the property, and whether any liens (mortgage, tax liens) must be paid before distributing sale proceeds. In Idaho, lien holders are paid first from sale proceeds, and co‑owners may have a right to reimbursement or an accounting in a partition or divorce case. Documentation and the legal basis for your claim determine whether you get a credit before distribution.

Detailed answer — how Idaho law treats mortgage, tax, and carrying cost payments

There are three separate issues you should understand when a property is sold and co‑owners disagree about splitting the net proceeds:

Priority of liens and payoffs: Mortgages, property tax liens, and other recorded liens attach to the property and are normally paid out of the sale proceeds first. A lender’s mortgage or a tax lien must be satisfied by the closing agent before any leftover funds go to owners. That means amounts you personally paid to keep a mortgage current may not increase the first dollars available at closing — the lender still has the right to be paid off from sale proceeds.
Equitable contribution and reimbursement between co‑owners: If two or more people own property together (for example, as tenants in common or joint tenants) and one owner pays mortgage payments, property taxes, insurance, or other carrying costs, that paying owner may be entitled to contribution or reimbursement from the other owners. In Idaho, courts handling partition or related accounting claims can calculate sums due for necessary payments that protected the common interest and order credits before dividing the remainder. Whether payments qualify for reimbursement depends on several factors: whether the payment was necessary to preserve the property, whether the payer was contractually obligated, and whether the non‑paying co‑owner received benefit from the payments.
Context matters — sale by agreement, partition action, or divorce:
- If owners agree in writing how to divide proceeds, that agreement generally controls.
- If owners cannot agree and someone files a partition action (a court proceeding to force sale or division of property), Idaho courts will typically perform an accounting to determine credits and debits before dividing the net proceeds among owners.
- If the property is being divided in a divorce, Idaho’s family law rules require equitable distribution of marital property (and recognition of separate property). The court will account for contributions, debts, and necessary payments when dividing assets. (See Idaho statutes and family law procedure for details.)

What counts as a reimbursable payment?

Generally, courts are more likely to award reimbursement or contribution for payments that were:

necessary to protect the property (mortgage, property taxes, hazard insurance to prevent default or forced sale);
made to pay down a debt secured by the property (mortgage principal and sometimes interest); and
documented so the payer can prove the payment and the benefit to the co‑owners.

By contrast, routine personal living expenses or voluntary improvements that increased one owner’s enjoyment but did not protect the shared interest may not be reimbursable without an agreement.

Practical steps courts take

In partition and other accounting contexts, courts commonly:

require a detailed accounting of payments and receipts;
order the sale or partition and then apply credits for reimbursable payments to the paying owner’s share; and
reduce a payor’s recovery if the payments were voluntary, excessive, or primarily benefited only that payor.

Key Idaho resources

Idaho statutes and court rules cover property, partition, and family law matters. For the full text of Idaho law and statutes, consult the Idaho Legislature’s statute pages: Idaho Statutes (official). For information about state courts and procedures (including forms and self‑help resources), see the Idaho Supreme Court site: Idaho Judicial Branch.

Typical examples (hypothetical)

Example A — Two tenants in common, one pays mortgage and taxes: Alice and Ben own a rental house as tenants in common. Alice paid the mortgage and taxes for two years after Ben stopped contributing. If they sell, a court ordering partition could require an accounting: the mortgage and tax payments Alice made to preserve the property may be credited to her share before dividing the remainder — especially if the payments prevented foreclosure and preserved sale value.

Example B — Lender payoff first: Claire and Dan sell a home with an existing mortgage. At closing the lender receives its payoff out of the sale proceeds. If Claire had made extra payments on the mortgage earlier, she might seek reimbursement from Dan for his share of those payments, but the lender still gets the mortgage payoff first.

How to protect your claim and increase the chance of reimbursement

Keep clear records: cancelled checks, bank transfers, escrow statements, mortgage payoff statements, tax bills, and insurance invoices.
Determine legal ownership: check the deed and title to confirm whether you and the other party are co‑owners and in what form.
Get payoff statements for any mortgages or liens before closing so you know what will be paid from sale proceeds.
Try to reach a written agreement with co‑owners about splitting costs and proceeds before sale; written agreements are harder to challenge than oral ones.
If necessary, consider a partition action or an accounting claim; courts can order credits when appropriate.

When to talk to an attorney

Consult a real estate or civil litigator if:

the co‑owner(s) refuse to accept your accounting or credit claim;
the sale involves substantial unpaid liens, disputes about ownership shares, or possible foreclosure;
you need help preparing a petition for partition, filing an accounting, or asserting reimbursement rights in a divorce.

Helpful Hints

Document every payment you make (date, amount, what it covered, and proof of payment).
Collect monthly mortgage statements and escrow analyses showing what portion paid principal, interest, taxes, and insurance.
Obtain a title report before sale to see recorded liens and priority.
Ask the closing agent for a full settlement statement (HUD‑1 or Closing Disclosure) showing lien payoffs and net proceeds split.
If co‑owners cannot agree, consider mediation before litigating — it is faster and often cheaper.
Keep copies of any written agreements or communications about who would pay what and how proceeds would be split.
Remember: recorded liens (mortgage, tax lien) will be paid first at closing regardless of private agreement between owners.

Disclaimer: This article explains general principles under Idaho law and provides practical information, but it is not legal advice. Laws change and every case turns on its facts. Consult a licensed Idaho attorney for advice about your specific situation.