How to Buy Out Co-Owners and Keep a Family Home in Nevada

Disclaimer: This article is for general information only and is not legal advice. Laws change. Consult a Nevada attorney and a tax adviser before taking action.

Detailed Answer — Step-by-step process under Nevada law

If you want to buy out your siblings’ interests so you can keep the home, the goal is to replace shared ownership with sole ownership. Below are the common, practical steps to do that in Nevada and the legal concepts that matter.

1. Confirm how title is held.

   Start by getting a copy of the recorded deed from the county recorder or a title company. Owners commonly hold property as tenants in common or joint tenants. Tenants in common each own a specific share and can sell or transfer their interest. Joint tenancy often includes a right of survivorship. Knowing the ownership type affects negotiation and remedies.

2. Get a current title report and payoff information.

   Ask a title company for a preliminary title report. That report shows liens, encumbrances, and recorded mortgages. If there is a mortgage, find the lender’s payoff amount. You generally must pay off or refinance the loan to remove other owners’ liability on the mortgage.

3. Obtain a market appraisal or broker price opinion.

   Hire a licensed appraiser or get a comparative market analysis from a real estate agent. You need a reliable market value to calculate each sibling’s share.

4. Work out the buyout math and terms.

   Typical formula: market value minus outstanding mortgages and sale costs = net equity. Each owner’s share is their percentage of that net equity. Negotiate whether any sibling will receive full cash up front, a promissory note from you, or other credits (for paid improvements, repairs, taxes or unpaid mortgage contributions).

5. Decide how to fund the buyout.

   Common options:

   • Refinance the mortgage in your name only to cash out funds to pay siblings (this is the typical way when others are on the existing loan).
   • Get a new purchase loan or home equity loan in your name.
   • Use cash or private financing and pay siblings directly.
   • Agree to a seller-financed promissory note where siblings accept payments over time and secure it with a deed of trust.

   If you refinance, expect the lender to underwrite you on your income, credit, and debt-to-income ratio. Removing siblings from title does not automatically remove them from the mortgage unless the lender accepts a refinance or assumption.

6. Prepare written agreements and transfer documents.

   You should document the buyout with a purchase and sale agreement, release or quitclaim deed (or grant deed) transferring each sibling’s interest to you, and closing statements. In Nevada, conveyances of real property must be in writing to be effective. See Nevada statutes on conveyances and recording (NRS Chapter 111 and related chapters).

   When family members transfer title, many use a quitclaim deed for simplicity, but a properly drafted deed and correct escrow handling are essential. After signing, record the deed in the county where the property is located to update public records.

7. Close the transaction through escrow or at an attorney’s office.

   Open escrow or close with a title company to coordinate payoffs, prepare closing statements, secure title insurance, and record documents. The title company will handle recording, issue updated title insurance, and distribute funds to siblings upon closing.

8. Address liabilities, liens, and ongoing obligations.

   Confirm that any liens or judgments against siblings that could attach to the property are cleared or otherwise addressed. If siblings are removed from title but remain on the mortgage, lenders may still hold them liable unless the loan is refinanced or assumed.

9. Record the deed and update insurance and utilities.

   Record the deed at the county recorder’s office and obtain a recorded copy. Update homeowner’s insurance to reflect sole ownership and make sure the policy meets lender requirements. Change utility accounts and property tax billing as needed.

10. Consider alternatives and litigation risks.

    If siblings won’t agree to sell their shares, you can ask a court to partition the property. Under Nevada law a co-owner may bring a partition action, and a court can order a division in kind or a forced sale with proceeds split among owners. See Nevada’s statutes on partition actions (NRS Chapter 40) for the court process and remedies.

11. Consult professionals before finalizing anything.

    Talk to a Nevada real estate attorney for drafting and closing documents, a lender for financing options, a title company for title and escrow, and a tax advisor for potential federal tax consequences of a transfer or sale.

Relevant Nevada statute references (general chapters):

• NRS Chapter 111 — Conveyances (writing requirement for real estate conveyances)
• NRS Chapter 40 — Partition (court actions to divide or sell co-owned real property)
• NRS Chapter 107 — Deeds of Trust (secured transactions and foreclosure procedures)
• NRS Chapter 247 — Recording and county recorder provisions

Helpful Hints

• Get everything in writing. Oral agreements about real estate are risky and often unenforceable.
• Start with a title search. You can’t fix ownership problems you don’t know about.
• Appraise before you negotiate. A neutral market value prevents disagreements about price.
• Plan financing early. If you must refinance, allow time for underwriting and appraisal contingencies.
• Consider a written promissory note if siblings accept payments over time; secure it with a deed of trust to protect the lender’s (the siblings’) interests.
• If tensions run high, mediation or a neutral third-party valuation can preserve family relationships and avoid expensive litigation.
• Consult a Nevada real estate attorney before signing deeds, notes, or escrow instructions to avoid unintended tax or title consequences.
• Ask about title insurance to protect against unseen title defects after closing.
• Remember federal tax issues—capital gains or gift tax rules may apply depending on how the buyout is structured. Speak to a tax professional.

If you want, I can outline a sample purchase-and-sale checklist for a Nevada buyout, list questions to ask lenders, or draft a short checklist to bring to your first meeting with an attorney or escrow officer.