Detailed Answer
When you inherit real property in Texas with one or more siblings, each of you holds an undivided interest as cotenants. You can often avoid a formal partition suit by negotiating a private agreement. This process usually starts with clear communication and a shared understanding of everyone’s goals.
1. Start with Open Communication
Begin by holding a family meeting or exchanging written proposals. Discuss these key points:
- Desired outcome (keep, sell, or buy out).
- Fair market value (FMV) of the property.
- Division of costs (taxes, maintenance, legal fees).
2. Obtain a Professional Valuation
Hire a qualified real estate appraiser or broker. An accurate FMV report prevents later disputes and lays the groundwork for any buy-out or sale.
3. Draft a Written Agreement
Memorize terms in a simple contract signed by all siblings. Your agreement can include:
- Buy-out price and payment timeline.
- Responsibilities for taxes, insurance, and upkeep.
- Procedures if someone defaults on payments.
4. Explore Mediation or Alternative Dispute Resolution (ADR)
If negotiations stall, a mediator can guide discussion and help you reach a binding settlement without court. Courts often view ADR efforts favorably if the matter later proceeds to litigation.
5. Understand When a Partition Action Becomes Necessary
If you and your siblings cannot agree, any cotenant may file a partition suit in district court under Texas Property Code § 23.001. The court can:
- Order partition in kind (physically divide the land) under § 23.003.
- Order partition by sale if in-kind division is impractical under § 23.005.
Court costs and attorney’s fees may be charged against the party who forced the partition or apportioned fairly.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for guidance on your specific situation.
Helpful Hints
- Document every proposal and response in writing.
- Keep all siblings informed of inspection and appraisal schedules.
- Consider hiring a neutral real estate broker if family history complicates talks.
- Set realistic timelines for decision-making to avoid stale negotiations.
- Ask each sibling to review agreements with independent legal counsel.