Short Answer

In North Carolina, an oral promise to transfer an interest in real estate is typically unenforceable under the Statute of Frauds, so you generally cannot enforce a verbal equity buyout. But if you are still on the deed, you are a co-owner and can file a partition proceeding with the Clerk of Superior Court to force a sale or set terms for division. In that case, the court can also handle credits and reimbursements between co-owners before splitting the net proceeds.

Understanding the Problem

You want to know if you can recover the equity you were verbally promised in North Carolina after a divorce. You remain on the deed, your former spouse refinanced the mortgage in only their name, and they now live in the home but have not responded to buyout requests. The decision point is whether you can enforce the verbal buyout or should pursue a partition to sell or divide the property.

Apply the Law

North Carolina law requires agreements to convey an interest in land to be in writing; a verbal buyout is usually not enforceable. However, any person who holds title as a co-owner (tenant in common or joint tenant without survivorship) may initiate a partition proceeding. Partition is filed with the Clerk of Superior Court in the county where the property sits. The clerk first considers dividing the land “in kind” (physical division). If that is impracticable or would harm owners’ interests (as with a single home), the clerk can order a sale and divide the proceeds. The court can also handle an accounting: credits for taxes, insurance, mortgage principal, and necessary repairs paid by one owner; possible offsets for the fair rental value when one owner has exclusive use.

Key Requirements

• Co-ownership of record: Your name on the deed establishes standing to seek partition.
• Proper venue and filing: File a partition special proceeding with the Clerk of Superior Court where the property is located and serve all co-owners and necessary parties.
• Relief requested: Ask for partition in kind or, if not feasible for a single residence, sale for partition with division of net proceeds.
• Accounting/credits: Request reimbursements for taxes, insurance, mortgage principal, and necessary repairs; expect offsets for any exclusive use/fair rental value issues.
• Liens and mortgages: Valid deeds of trust remain on the property; sale proceeds first satisfy costs and liens, then net proceeds are divided.
• Appeal/transfer: Equitable defenses can move the case to Superior Court; parties may appeal the clerk’s final order on a set timetable.

What the Statutes Say

• North Carolina Gen. Stat. § 22-2 (Statute of Frauds) – Contracts to convey interests in land must be in writing and signed.
• North Carolina Gen. Stat., Chapter 46A (Partition) – Procedures for partition in kind or sale by the Clerk; commissioners; accounting; distribution.
• North Carolina Gen. Stat. § 1-339.1 (Judicial Sales) – Judicial sale procedures, including upset bids and confirmation.
• North Carolina Gen. Stat. § 1-301.2 (Appeals in special proceedings) – Appeal from clerk’s order to Superior Court for hearing de novo.

Analysis

Apply the Rule to the Facts: Because you remain on the deed, you are a co-owner and can petition for partition in the county where the home is located. The verbal buyout is not a reliable basis for enforcement under the Statute of Frauds, but you can still seek a sale for partition of a single-family home and ask the clerk to credit any provable payments you made (taxes, insurance, principal, repairs) and address any rental-value offsets tied to your former spouse’s exclusive occupancy. Any valid mortgage or deed of trust will be paid from sale proceeds before the net is divided.

Process & Timing

1. Who files: Any co-owner of record. Where: Clerk of Superior Court in the North Carolina county where the property is located. What: Verified partition petition (special proceeding) with civil summons; request sale if in-kind division is impractical; include an accounting request and list all co-owners and known lienholders. When: No fixed limitations period for partition, but raise accounting items within the proceeding.
2. After service, the clerk holds a hearing. For a single residence, sale is common. The clerk may appoint a commissioner to conduct the sale under judicial-sale rules with upset-bid cycles. Counties vary on scheduling; expect several weeks to months to reach a sale and confirmation.
3. After confirmation, the commissioner delivers a deed, pays costs and liens, and deposits net proceeds for distribution. The clerk resolves credits/offsets (taxes, insurance, principal, necessary repairs, and any rental-value issues) and orders distribution of the balance to co-owners.

Exceptions & Pitfalls

• Oral buyouts: Without a signed writing, an equity buyout is usually not enforceable; focus on partition and an accounting for any prior payments.
• Exclusive possession: A co-owner living there is not automatically charged rent; an offset for fair rental value may depend on exclusion/ouster and is balanced against carrying-cost credits.
• Mortgages and liens: A deed of trust remains attached; sale proceeds must first satisfy valid liens before owner distribution.
• Heirs’ property rules: Special steps can apply to inherited family property. Your case involves former spouses on title; if inherited interests are involved, additional procedures may apply.
• Transfer to Superior Court: If someone raises equitable defenses or seeks equitable relief, the matter can move to Superior Court, adding time and complexity.
• Proof problems: Keep records of taxes, insurance, mortgage principal, and repairs. Lack of documentation can reduce your credits.

Talk to a Partition Action Attorney

If you’re dealing with a stalled buyout and need to force a sale or establish fair terms, 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.