By Justin Liva, Mojo House BuyersA house with one owner is simple to sell. Add a second name to the deed and it gets more complicated. Add three siblings who inherited from a parent, one of whom lives in the house and one of whom lives in another state, and every decision needs all three of them.
This guide covers the basics of shared ownership in New Jersey and the ways a co-owned house actually gets sold. It's general information, not legal advice. Every co-ownership dispute has its own facts, and a real estate attorney should be your first call when owners can't agree.
How co-ownership works in New Jersey
The deed controls who owns what, and the wording matters.
Tenants in common. Under N.J.S.A. 46:3-17 in the New Jersey statutes, a property held by two or more people is not treated as a joint tenancy unless the deed or will expressly says that was the intent. So when the paperwork is silent, the owners are usually tenants in common. Each owner holds a share, and the shares don't have to be equal.
Joint tenants. When the deed clearly creates a joint tenancy, different rules apply. Ask your attorney how your deed reads before you assume anything.
Tenancy by the entirety. This form belongs to married couples whose deed names them as husband and wife (N.J.S.A. 46:3-17.2). Its big feature for a sale is that one spouse can't transfer or cut off their interest alone while married or separated; both have to consent in writing (N.J.S.A. 46:3-17.4). Our divorce guide picks up from there.
Every owner counts at closing
If you want to sell the whole house, plan on every owner being part of the deal. You can see that even in the tax paperwork. The New Jersey Division of Taxation's guide to buying or selling a home says each owner of the property being sold must submit a GIT/REP form, and that the form must show that owner's percentage of ownership. A married couple counts as one owner for that form.
The Division's Technical Bulletin TB-57(R) adds that a county recording officer can't record a deed without the appropriate GIT/REP form, so every owner's paperwork has to be in order before closing.
When the owners agree
If everyone wants to sell, the hard part is mostly logistics. Owners may live in different places, have different ideas about price and timing, and different tolerance for repairs. A few things help:
- Agree on how the money will be split before you accept any offer. If the shares aren't equal, or one owner has been paying the taxes and insurance, talk about that early with your attorney.
- Pick one point of contact to deal with buyers and agents, while everyone still signs.
- Decide on repairs together. If no one wants to put money into the house, an as-is sale avoids that argument entirely.
With a co-owned house, every owner needs to be in the loop, not only the one who made the first call. Because I buy as-is, no owner has to pay for a new roof first. You can leave behind whatever nobody wants to keep; I handle the cleanout after the sale.
When one owner wants out
One co-owner may want to sell while another wants to keep the house, maybe because they live there. One fix is a buyout: the owner who wants to stay pays the others for their shares, with a refinance or savings. Getting a neutral opinion of value, like an appraisal, keeps that conversation grounded.
If a buyout isn't possible, the owners can sell to an outside buyer and split the proceeds. A cash sale can help here, because it gives everyone one number and one closing date to agree on.
When owners can't agree: partition
When co-owners are truly stuck, New Jersey law allows a court action called partition. Under N.J.S.A. 2A:56-2, the Superior Court may order the property sold if it can't be divided without great prejudice to the owners. It's hard to split a single house into separate pieces, which is why that power to order a sale matters for homes.
New Jersey has also adopted the Uniform Partition of Heirs Property Act, approved in July 2025 for partition cases filed on or after its effective date. It applies to "heirs property," which the law defines as property held as tenants in common, with no binding agreement among all owners about partition, where at least one owner got title from a relative and at least one of the act's 20 percent family-ownership tests is met. When a court finds the house is heirs property, the act calls for an appraisal by a licensed, disinterested appraiser, and it gives co-owners who didn't ask for a sale the chance to buy out the shares of those who did, at a price based on that appraised value.
I'd rather see a family avoid a partition lawsuit if they can. A lawsuit brings legal fees and time in court, and it can strain relationships. If you're heading in that direction, it's worth having an attorney try a negotiated buyout or a voluntary sale first.
Inherited houses with several heirs
When a shared house comes from an estate, there are extra steps before anyone can sell. Our guides on inheriting a house you don't want and selling during probate walk through those steps. I've helped many people sell inherited properties they didn't want, giving them money to start fresh.
Talking it through
If your family is sorting out a shared house, I'm glad to give all the owners a free cash offer with no obligation, so you have a real number to discuss. You can read about how I buy houses first, or contact me and tell me who's on the deed.