Co-owning real property can be a great wealth building strategy until co-owners disagree about selling, refinancing, or keeping the property. When one owner wants to sell and the other refuses, California law offers a path to resolve these disputes through a partition action or a structured buyout.
In 2023, California enacted the Partition of Real Property Act (PRPA), a major reform that reshaped how some partition cases work. These changes dramatically affect litigation strategy, timelines, and outcomes for co-owners throughout the state.
This guide explains what the PRPA does, who it covers, how the buyout process works, and what steps you should take before filing or defending a partition action.
What Changed? Expanded Buyout Rights for Most Tenants-in-Common
Before 2023, California’s statutory buyout rights mainly protected heirs who inherited property. The PRPA broadened these protections. For properties held as tenants in common, where there is no written agreement, non-filing co-owners now have a statutory right to buy out the interest of the co-owner who files the partition case before the court orders a sale.
This expansion means:
- A co-owner who wants to keep the property may purchase the filing owner’s interest at fair market value.
- The buyout price is based on an appraised fair market value, not at a discount.
- Filing a partition action now triggers a sequence of valuation and buyout opportunities instead of automatically heading toward a sale.
Practical impact:
The buyout right shifts leverage. Filing first may trigger a buyout opportunity for your co-owner; a strategic risk attorneys must evaluate carefully.
Mandatory Court-Ordered Appraisal Before Any Sale
Another major change under the PRPA is the introduction of a mandatory appraisal for nearly all partition cases.
Here’s how it works:
- The court appoints a neutral appraiser.
- The appraiser determines the fair market value of the entire property.
- The court then calculates the value of the filing owner’s proportional share.
- Non-filing co-owners are given a window of time to elect a buyout at that value.
If multiple co-owners want to buy out the filing party, the court allocates the purchase proportionally based on ownership percentages.
Only after the buyout window closes, and no buyout occurs, may the court move toward sale or division of the property.
Practical impact:
Valuation disputes now take center stage and can significantly affect negotiation strategy.
Filing Strategy Now Matters More Than Ever
Under the PRPA, if the property is held as tenants in common, choosing whether to file and when to file has major implications.
If you file first:
- You trigger the appraisal.
- You give your co-owner a new statutory right to buy you out.
- Your co-owner may use the process to keep the property and force you to accept a court-determined payout.
If you wait:
- Your co-owner may file first, giving you the buyout right.
- You may strategically position yourself to purchase the property at an appraised value rather than negotiating a private sale.
Practical impact for attorneys:
Advising clients on whether filing serves or harms their goals is now one of the most critical parts of a partition case.
Practical impact for co-owners, an example:
Two siblings inherit a Los Angeles home. One wants to sell, and the other wants to keep living there. Under the PRPA, the sibling who wants to stay can elect to buy out the sibling who files the partition action, at a court-determined fair market value, instead of losing the home in a forced sale.
Does the PRPA Apply to Your Property?
The PRPA applies only if:
- The property is held in tenancy in common
- There is no written co-ownership agreement or TIC agreement binding all co-owners on partition rights
- The partition action was filed on or after January 1, 2023
The PRPA does not apply to:
- Properties held in joint tenancy or as community property (unless also structured as TIC)
- TICs governed by written agreements controlling partition
- Actions filed before 2023
If the PRPA does not apply, the case proceeds under the traditional partition statutes. Court-appointed referees, sales, and voluntary buyouts remain available, but without the PRPA’s mandatory appraisal and buyout structure.
Attorney Checklist Before Filing a Partition Action
Because filing first may hand strategic advantages to the opposing co-owner, attorneys must thoroughly evaluate the case before initiating litigation.
Here are essential items to confirm:
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Title and Vesting
- How is the property titled?
- Are all co-owners properly identified?
-
Recorded Agreements
- Is there an operating agreement?
- Any buy-sell terms?
- Any tenancy-in-common agreements?
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Existing Liens & Encumbrances
- Mortgages
- HELOCs
- Tax liens
- Judgments
These can affect valuation and buyout feasibility.
-
Financial Ability of Each Party
- Can your client purchase the other owner’s share if needed?
- Can your client withstand delays, appraisals, or contested hearings?
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Client’s Goals
- Do they want to keep the property?
- Sell the property?
- Maximize profit?
- Exit quickly?
A partition action cannot be effectively filed without aligning strategy with client objectives under the new PRPA framework.
Handling a Co-Owner Property Dispute Under PRPA
The 2023 Partition of Real Property Act has transformed partition litigation. Cases now follow a more structured, appraisal-driven path, with expanded opportunities for buyouts and fewer rushed forced sales.
Whether you are the co-owner seeking to sell or the one hoping to retain the property, navigating these new rules requires strategic planning, valuation expertise, and strong legal advocacy.
At Vokshori Law Group, we specialize in California real estate disputes, including partition actions under the new PRPA. With more than 150 years of combined legal experience, our real estate lawyers provide:
- Clear evaluation of your rights and best legal options
- Strategic guidance based on your goals (sell, buyout, or negotiate)
- Skilled handling of the appraisal and valuation stages
- Advocacy in contested partition hearings
- Negotiation support throughout the buyout process
We ensure that your property rights are protected and that you fully understand how the new law affects your position.
Contact a California Partition Attorney Today
If you’re dealing with a co-owner conflict or considering filing a partition action, understanding how the 2023 Partition of Real Property Act (PRPA) affects your rights is essential. The expanded buyout rights, mandatory appraisal requirements, and new procedural steps make partition cases far more technical than in prior years and having the right legal team can be the difference between a fair outcome and an expensive mistake.
At Vokshori Law Group, our real estate litigation attorneys have extensive experience navigating complex co-ownership disputes throughout California. We provide strategic guidance from the very first consultation, helping you understand your options, protect your financial interests, and move toward a resolution that aligns with your goals.
Whether you’re looking to force a sale, exercise a buyout right, challenge an appraisal, or defend your ownership interest, our team is ready to step in with the knowledge, precision, and advocacy your case demands.
Call us today at (855) 855-2608 to schedule a consultation and speak with an experienced partition attorney or visit www.VokLaw.com to learn more about your rights under the 2023 PRPA.
Let Vokshori Law Group help you resolve your co-ownership dispute, safeguard your property rights, and secure a clear path forward.
