Forcing A Sale Of A Jointly Owned Property

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Forcing a sale of a jointly owned property is a reasonably straightforward process, as long as there aren’t any resident dependencies (children or people with disabilities) involved.

If you are in joint ownership and are looking to sell the property, but only one party wishes to do so, then you could force the sale.

If you wish to force a sale of a jointly owned property you will need to go to court for an order.

In this article, we will cover joint ownership, your rights, and how you can force the sale of a jointly owned property.

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What Is Joint Ownership?

Joint ownership is a legal arrangement where two or more individuals own a property together. It is a common form of property ownership that allows multiple individuals to share the rights, responsibilities, and benefits associated with the property.

If you own half a house in the UK, you will be in joint ownership, and you will either be in a tenancy in common or a joint tenancy. Although similar, both ownerships differ slightly in terms of rights and responsibilities.

Why Would Someone Use Joint Ownership To Buy A Property?

Joint ownership could be between married couples, civil partnerships or mortgage mates (friends living together).

Joint owners can be a beneficial arrangement for individuals looking to buy a property as buying a property on a single salary can be quite expensive, and buying together allows the pooling of resources.

Buying in a joint ownership can allow buyers to afford larger or more desirable property than they could individually, and could be utilised in the property investment industry.

The sale of the property from a joint ownership agreement will be split between the share proportions in a tenant in common agreement, or split equally in a joint tenancy agreement.

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What Are Joint Tenants?

Joint tenants will collectively own the property instead of holding shares they can sell independently. If a tenant has a more significant financial stake in the property than another, all tenants will have equal rights to the property.

If a joint tenant passes away, the property will automatically be passed to the other joint tenants.

If joint tenants dispute a property’s sale, the tenant that wishes to sell must change the agreement to tenants in common via a notice for severance. The HM Land Registry must be informed about amending the title to the property.

What Are Tenants In Common?

Tenants in common is where each individual has a distinct and separate share within the property. The ownership shares need not be equal; they can be divided in any proportion as agreed upon by the co-owners.

If one tenant wanted to sell their share, they had the right to do so without the consent of the other co-owners.

In the event of a co-tenants death, their share of the property will be passed on according to their will or the laws of intestacy. The will could leave the property to a chosen beneficiary, and the beneficiary could become a new tenant in common with the remaining tenants.

Why Would Someone Sell A Joint Ownership Property?

Someone may want to force a sale of a jointly owned property if there is a change in personal circumstances such as job relocation, marriage, divorce or if there is a disagreement or conflict.

Alternatively, owners may decide to sell their shares in a property if they want to reinvest their funds in other, more profitable, higher yielding properties.

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What Are My Rights If I Own Half A House?

Suppose you are living within a jointly owned property. Then you have the right to live in the property unless otherwise agreed upon; this right is generally equal among all owners, regardless of the share of ownership.

Depending on whether you are in a joint tenant agreement, you will be entitled to a share of any profits generated from the property, such as rental income or proceeds of the sale.

If you are a tenant in common ownership, you will generate profits from that share when you sell your share.

Can I Be Forced To Sell My Share Of A Property?

A tenant in common can be forced to sell their share of a property. However, this process will involve legal proceedings and requires specific conditions to be met.

How Do You Change A Joint Tenancy To Tenants In Common?

If you wish to sell your property, but the other owner does not, you will need to switch the property agreement to a tenancy in common.

If all owners are in agreement and are satisfied to make the change from joint tenants to tenants in common, then the process is relatively straightforward:

  1. Register a Form A Restriction by completing Form SEV.
  2. Gather all necessary documents, like the notice of severance.
  3. Send the form and supporting documents to HM Land Registry’s Citizen Centre.

But, if the owners can’t agree to the change, then the process is slightly more complicated:

  1. Prepare and serve a notice of severance to the other tenants.
  2. Register a Form A Restriction by completing Form SEV.
  3. If you cannot provide evidence of the severance options listed in the SEV form, fill in form RX1.
  4. Gather all necessary documents, like the notice of severance.
  5. Send the form and supporting documents to HM Land Registry’s Citizen Centre.

Can You Force The Sale Of A Jointly Owned Property?

Yes, in England, if you are in a jointly owned property agreement and the other parties do not wish to sell, you can apply for an order of sale. This process will allow you to obtain an order for purchase without instructing a solicitor.

How Do I Apply For A Forced Sale?

The first step when applying for a forced sale is to complete an N208 Form, in which you will need to provide the following:

  • Evidence of the claimant’s financial interest in the property.
  • Details of the outstanding debt on the property.
  • An estimated sale price.
  • A witness statement that explains who the other owners are and their circumstances.
  • For residential property, claimants must also confirm if a Class F land charge or a notice under S.31 Family Law Act 1993 has been registered against the property.

The N208 Form will then be submitted to the nearest county court, which will reach a judgement. The court can either:

  • Grant the sale – the claimant can request that specific conditions be attached to the order, like a minimum sale price.
  • Refuse the sale.

Any tenants that do not want to sell their property have the right to oppose the order and request that the claim be rejected or postponed, but they must do this within 14 days of the service date.

What Are the Different Ways A Court Can Order?

After an order of sale has been applied for, the court can award one of five different orders:

  • Order of sale.
  • Refuse a sale.
  • Order a sale but build a short delay into the order.
  • Refuse a sale but make an order regulating the right to occupy the property.
  • Partition of the co-owned property./li>

Can You Force The Sale Of a Jointly Owned Property With Children?

If children are involved in a joint ownership sale dispute, they are known as resident dependents, and the court may order a sale with a slight delay so that the property can’t be sold until they are 18 or have left full-time education.

If you force a sale of a jointly owned property with a resident dependent who has severe disabilities, the court may order a delay until suitable alternative accommodation has been arranged.

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Tom is a Digital Content Writer passionate about sustainable property & property trends. Regardless of the subject, he will always write blogs of the best calibre. Read more about Tom here.

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About Tom Condon 127 Articles
Tom is a Digital Content Writer passionate about sustainable property & property trends. Regardless of the subject, he will always write blogs of the best calibre. Read more about Tom here.

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