Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed attorney in Pennsylvania for advice on your specific situation.
Detailed Answer
If you inherit real property jointly with your siblings, each of you holds an undivided interest in the land. Under the Partition of Land Act (21 P.S. § 801 et seq.), any co-owner may file a partition action in the Court of Common Pleas to divide or sell the property. However, you can often avoid litigation by negotiating a private agreement.
Begin by organizing a meeting with all co-owners to discuss each party’s goals and concerns. You can propose one or more of the following options:
- Buyout: One or more siblings purchase the interests of others at an agreed price. Conduct an independent appraisal to establish fair market value.
- Partition in Kind: Physically divide the parcel into separate plots. This only works if the land can be divided without significantly diminishing its value.
- Co-ownership Agreement: Draft a formal contract that sets out use, maintenance, expenses, and eventual sale procedures. This can postpone or avoid a partition action.
- Mediation: Hire a neutral mediator to facilitate discussions and help you reach a binding settlement.
Document all agreements in writing. A fully executed contract signed by all co-owners can prevent any party from later filing a partition action or shape the terms of such an action if it becomes necessary. If your siblings refuse to negotiate or cannot agree, any co-owner may still initiate a partition lawsuit under 21 P.S. § 801. In that case, the court can order a sale of the property and distribute proceeds according to each owner’s percentage interest.
When deciding whether to negotiate or pursue a partition action, consider factors such as cost of litigation, potential delays, tax implications, and emotional strain.
Helpful Hints
- Obtain a professional appraisal before proposing a buyout to set a fair price.
- Request a title search to confirm ownership interests and any existing liens.
- Offer multiple settlement options to maintain a cooperative environment.
- Use written agreements to record all decision points, obligations, and deadlines.
- Consult a Pennsylvania attorney or mediator early to draft enforceable documents.