Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a qualified attorney in New York to address your specific situation.
Detailed Answer
Under New York law, co-owners of real property—such as siblings inheriting a home—hold their shares as tenants in common. If one co-owner wants to force a sale or division, they may file a partition action under Real Property Actions and Proceedings Law (RPAPL) Article 9 (RPAPL §901). A court can order a physical division or a sale with proceeds divided among co-owners.
However, you can often avoid the time, cost, and uncertainty of a partition lawsuit by negotiating a settlement with your siblings. Common options include:
- Buy-Out Agreement: One sibling buys another’s share at an agreed value. You’ll need a professional appraisal to establish fair market value.
- Unified Sale: All siblings agree to list and sell the property. Net proceeds are split according to ownership percentages.
- Co-Ownership Agreement: Draft a contract that sets use rights, maintenance obligations, and a future buyout formula. Record any deed changes at the county clerk’s office per Real Property Law (RPL) § 291 (RPL §291).
Steps to negotiate successfully:
- Obtain a current, certified appraisal.
- Discuss each party’s goals—some may want cash, others may prefer to keep the home.
- Consider mediation. A neutral mediator can guide constructive dialogue.
- Engage counsel to draft a written agreement specifying price, payment terms, and recording instructions.
- Record any conveyance or amended deed promptly with the county clerk to protect each party’s interest.
If negotiations fail, any co-owner can still file a partition action in New York Supreme Court under RPAPL § 901. The court will then determine the fairest method of dividing or selling the property. Avoiding litigation through clear communication and formal agreements often saves time and expense.
Helpful Hints
- Get a professional real estate appraisal before negotiations.
- Use mediation to keep discussions constructive.
- Keep detailed records of all offers and agreements.
- Have any buy-out or sale agreement drafted by an attorney.
- Record deeds or conveyances at your county clerk’s office immediately.