Detailed Answer
When co-owners agree to sell jointly, one party may advance carrying costs—mortgage payments, property taxes, insurance, utilities and maintenance—while the other contributes less or nothing. To recover your share under Illinois law, follow these steps:
1. Identify and Document All Carrying Costs
List each expense category: mortgage interest, principal payments, real estate taxes, homeowner’s insurance, utilities, repairs and maintenance. Keep invoices, bank statements and canceled checks. Documentation builds credibility and supports precise calculation of your outlay.
2. Calculate Total Expenses and Prorate by Ownership Interest
Sum all documented costs over the period in question. Then multiply by the co-owner’s ownership percentage. For example, if total costs are $40,000 and ownership is 50%, your co-owner’s share is $20,000.
3. Present a Written Demand for Contribution
Before filing suit, send a formal demand letter by certified mail. Include:
- Itemized statement of expenses.
- Calculation of co-owner’s share.
- A deadline (e.g., 30 days) for payment.
4. File a Partition Action if Necessary
If the co-owner refuses to pay, you may seek an accounting in a partition action under the Illinois Code of Civil Procedure. In a partition-by-sale case, the court orders a just apportionment of proceeds after deducting carrying costs, taxes, repair expenses and sale costs. See 735 ILCS 5/15-110 (Partition; distribution of proceeds).
5. Obtain a Court-Approved Accounting
During the partition action, submit your expense records and request the court include these sums in the accounting. The judge will prorate all legitimate carrying costs and adjust each co-owner’s share of the sale proceeds accordingly.
Helpful Hints
- Track expenses monthly to minimize errors.
- Confirm ownership percentages in writing—use your deed or title report.
- Consider mediation to resolve disputes faster and lower legal costs.
- Retain copies of all correspondence and proof of delivery for demand letters.
- Consult a real estate attorney early if co-owners disagree on costs or sale terms.
Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed attorney to address your specific situation.