NSW Tenants in Common - Forced Sale Without the Other's Permission?

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justthefacts

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9 October 2018
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Can a 50/50 partner who owns a home tenants in common with her sister force the sale of the entire property without the other's permission under property law?
 

Rod

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Only with a court order. In NSW possibly a NCAT order can be obtained. In VIC, our equivalent VCAT can make such an order.

The Real Estate agent will need both signatures, and the transfer of land can't happen unless by order, or with 2 signatures.
 

Rod

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Is a court order easy to get?

It should be.

There can be issues around agreements entered into at the time of acquisition, loans and bankruptcies, and trust requirements. But if none of these circumstances apply then it should be straightforward.

Sometimes offering to sell to the other party is easier (assuming no emotional family dramas are in play).
 

Rod

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justthefacts

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What if one owner decides to move out and install a paying tenant in his/her place? Does this require permission of both owners? Do any proceeds from rent or sub-leasing have to be equally divided?
 

Rod

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justthefacts

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In the case of one owner forcing the sale by court order, when offers are made by outside parties to purchase the property, does the other owner have any say at all as to whether to accept or reject any given offer? Does it become entirely up to the owner forcing the sale as to what offer to accept?
 

Rod

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Depends on the orders. Do the orders state a minimum value or method of sale (eg auction).

Normally the person refusing to sell cannot frustrate the sale by disagreeing on the sale price. In these situations auction by a real estate agent is often the fairest method of sale.