Short Answer

In North Carolina, start with a credible, current appraisal and a clear accounting of each co-owner’s contributions and offsets. Use mediation to convert that valuation into a written, signed buyout agreement that also settles credits, taxes, releases, payment logistics, and move-out terms. If no agreement is reached, the partition case continues before the Clerk of Superior Court and may proceed to commissioners or a court-ordered sale.

Understanding the Problem

In North Carolina, a co-owner in a partition action asks: how can I get a fair buyout price for my share at mediation? You want to turn the upcoming mediation into a binding deal that reflects market value and settles related issues, including how and when payment is made and documented.

Apply the Law

Partition cases begin as special proceedings before the Clerk of Superior Court in the county where the property is located. The law prefers partition in kind when practical, but a sale (or a negotiated buyout) is used when a fair, physical division can’t be made. The clerk can order mediation to help the parties reach a settlement. If you agree to a buyout, the terms should be put in a signed mediated settlement agreement and a consent order so the court can close the case. If you do not agree, the clerk may appoint commissioners to evaluate division or move toward a judicial sale, where statutory sale procedures and short objection/appeal deadlines apply.

Key Requirements

• Establish fair market value: Get a recent appraisal by a licensed appraiser and fix a valuation date in the agreement.
• Account for contributions and offsets: Bring proof of taxes, insurance, mortgage, necessary repairs, and improvements; expect offsets for rents received or exclusive benefits where applicable.
• Reduce the deal to writing: A mediated buyout is enforceable only if it is written and signed by the parties before the mediation ends.
• Use the right forum and forms: Partition is before the Clerk of Superior Court; if settlement is reached, submit a consent order to resolve the proceeding.
• Plan payment and logistics: Specify wire details, any attorney trust account, lien/tax payments, releases, possession date, and contingencies (e.g., payoff statements).
• Know the next step if no deal: The clerk can appoint commissioners or move to a judicial sale, which carries short objection and upset-bid timelines.

What the Statutes Say

• North Carolina Gen. Stat., Chapter 46A (Partition) – Governs partition proceedings, including partition in kind, partition by sale, commissioners, and procedure.
• North Carolina Gen. Stat. § 7A-38.3B (Mediation in matters before the clerk) – Clerk may order mediation; agreements must be in writing and signed to be enforceable.
• North Carolina Gen. Stat. § 1-301.2 (Special proceedings: transfer and appeal) – Sets rules for transferring special proceedings to superior court and appealing clerk orders.
• North Carolina Gen. Stat., Chapter 1, Article 29A (Judicial sales) – Procedures for court-ordered real estate sales, including reporting and upset bids.

Analysis

Apply the Rule to the Facts: To get a fair buyout price, anchor negotiations with a recent appraisal and a valuation date, then adjust for contributions (taxes, insurance, mortgage, necessary repairs) and any offsets. Put the buyout in a signed mediated agreement that states the price, how and when it’s paid (including any attorney trust account), mutual releases (including tax matters), and a firm move-out date with conditions of surrender. If no agreement is signed, the partition will continue before the clerk and may lead to commissioners or a judicial sale.

Process & Timing

1. Who files: Any co-owner. Where: Clerk of Superior Court in the North Carolina county where the property sits. What: Verified partition petition (Chapter 46A) and special proceeding summons; mediation may be ordered. When: File anytime; if the clerk orders mediation, attend by the court’s deadline and be prepared with an appraisal and proof of contributions.
2. If you settle at mediation, draft and sign a mediated settlement agreement on the spot. Submit a consent order to the clerk to dismiss or resolve the partition with the buyout and related terms (credits, releases, possession).
3. If you do not settle, the clerk may appoint commissioners for partition in kind or move toward a judicial sale. Statutes impose short windows to object to reports and to file appeals. If a sale occurs, statutory upset-bid periods apply before confirmation.

Exceptions & Pitfalls

• Using outdated or one-sided valuations. Bring a recent appraisal; if values are far apart, agree to use two appraisals and a midpoint or a third appraiser.
• Overstating “improvements.” You’re usually credited for necessary costs; improvements are typically limited to the increase in value they create, not their full cost.
• Exclusive occupancy disputes. If one co-owner claims exclusion or rent, address any use-and-occupation offsets in the buyout price.
• Mediation formality. An oral handshake isn’t enough—your buyout is enforceable only if written and signed at mediation.
• Payment logistics. If funds route to an attorney trust account, authorize it in writing, require an itemized closing statement, and specify lien/tax payoffs and net disbursement.
• Tax filings. If the other side listed you as a partner on tax returns, include no‑partnership language, mutual releases, indemnities, and cooperation on any amended filings.
• Possession. Set a firm move‑out date, access for movers, condition of surrender, and a daily holdover charge to avoid disputes.

Talk to a Partition Action Attorney

If you’re dealing with a co-owned property buyout at mediation, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.