Owning real estate with another person can be practical and financially beneficial, especially among family members, friends, or business partners. However, joint ownership can lead to disagreements. When co-owners no longer agree on how to use, manage, or divide the property, legal conflicts can follow. In Florida, these situations are common in both residential and investment properties. If left unresolved, they can escalate into costly legal battles.
Understanding Joint Ownership in Florida
Joint ownership can take several legal forms in Florida. The most common are:
- Tenancy in common: Each owner holds a percentage of the property, which may be equal or unequal. Owners can sell or transfer their share without the others’ permission.
- Joint tenancy with right of survivorship: Each owner has an equal share. If one dies, their interest automatically transfers to the surviving owners.
- Tenancy by the entirety: This is limited to married couples and includes survivorship rights. The property is viewed as being owned by the marriage, not the individuals.
Each type affects how the property is divided or transferred when a dispute arises. Knowing how the title is held is the first step in determining your rights.
Common Reasons for Disputes Among Co-Owners
Disputes over jointly owned property often arise due to:
- One party wanting to sell while the other refuses
- Disagreements about financial contributions or maintenance
- One owner living on the property while others don’t
- Differences in how to use the property (e.g., rent it out versus keep it vacant)
- Relationship changes such as divorce, family disagreements, or the death of an owner
These conflicts often lead to one or more parties seeking a legal resolution to force a sale or buyout.
Options for Resolving Joint Property Disputes
There are several ways to address a dispute over shared property. Some solutions are informal, while others involve court intervention.
- Voluntary Agreements Between Co-Owners
The simplest and least expensive resolution is for co-owners to reach an agreement themselves. This could involve:
- One owner buying out the others
- Agreeing to sell the property and divide the proceeds
- Establishing usage schedules if the property is shared for vacations or seasonal use
- Creating a written agreement detailing responsibilities, contributions, and future plans
While verbal agreements are technically legal, it’s much safer to put everything in writing and have it reviewed by a real estate attorney.
- Mediation or Arbitration
If owners can’t reach an agreement on their own, alternative dispute resolution may help. Mediation involves a neutral third party helping the owners negotiate a settlement. Arbitration is more formal and binding, where an arbitrator makes the final decision.
These methods are typically faster and more cost-effective than litigation. They’re also less adversarial, which may preserve personal or business relationships.
- Partition Action in Court
When voluntary options fail, a co-owner can file a partition action in a Florida court. This is a legal process that forces the division or sale of the property.
There are two types of partition:
- Partition in kind: The court divides the physical property between owners if feasible. This is rare, especially for single-family homes or small lots.
- Partition by sale: The property is sold, usually at public auction, and the proceeds are divided among the owners based on their interest.
Florida courts prefer voluntary sales to public auctions, as auctions often bring in less value. A lawyer can help push for a private sale and negotiate a fair process for all parties involved.
Protecting Your Interests During Division
To ensure a fair outcome, each co-owner should take steps to protect their financial and legal interests.
- Keep records: Document all financial contributions, including down payments, mortgage payments, repairs, and property taxes.
- Understand your ownership share: In tenancy in common, shares might not be equal. Be prepared to show proof of your percentage.
- Consult a real estate attorney: An attorney can help evaluate your options, represent you in negotiations, and guide you through the legal process if needed.
- Be proactive: Waiting until conflict worsens makes resolution harder. If you sense disagreement, start looking at solutions early.
Preventing Future Disputes
Many joint ownership disputes are avoidable with upfront planning. Before purchasing property with others, consider creating a co-ownership agreement. This document can outline:
- Ownership percentages
- Decision-making rules
- Financial responsibilities
- Procedures for selling or exiting the agreement
- Dispute resolution methods
Even if you already co-own property, it’s not too late to create an agreement. Having clear expectations in writing can help avoid misunderstandings down the road.
Special Considerations in Inherited Property
Disputes often arise when family members inherit property together. For example, siblings might jointly inherit a home and disagree on whether to sell or keep it. These emotionally charged situations require careful handling.
In Florida, heirs have the right to seek a partition just like any other co-owner. If one sibling wants to sell and another does not, a court can intervene. Often, a buyout or mediated agreement is the best way to maintain family relationships while resolving the property issue.
When to Get Legal Help
You should speak with a real estate attorney if:
- You are facing a dispute over jointly owned property
- A co-owner has filed or threatened to file a partition action
- You want to exit a joint ownership situation
- You need help negotiating a buyout or sale agreement
An experienced Florida real estate lawyer can help you protect your share, negotiate better terms, and guide you through the legal complexities.
Conclusion
Joint property ownership can be beneficial, but disputes can arise when co-owners no longer agree. If you’re involved in a conflict over jointly owned real estate in Florida, it’s important to know your rights and act quickly. With legal guidance, open communication, and clear documentation, it’s possible to reach a fair outcome and avoid unnecessary litigation.