What should I do if one co-owner won’t sign the purchase agreement? – North Carolina

Short Answer

In North Carolina, you cannot buy 100% of a property unless every record owner (or a fiduciary with legal authority) signs the deed. A contract signed by only some co-owners binds only those signers to convey their shares, not the holdout’s interest. During your due diligence period, verify title, demand all required signatures or authority documents, and decide whether to extend, renegotiate, or terminate before your deadline.

Understanding the Problem

You’re the buyer negotiating a residential purchase in North Carolina. Two co-owners signed your purchase agreement, but one has not. You want to know if you can move forward and how to handle this blockage, especially with a potential “garage situation” you want resolved before closing.

Apply the Law

Under North Carolina law, marketable title to the whole property requires signatures from all record owners or from a fiduciary (such as a personal representative, guardian, or trustee) who has proper legal authority to convey. A contract signed by fewer than all owners does not force a non‑signing owner to sell. If a co-owner is an estate, guardian, or trust, there are specific authority documents and, in some cases, court approvals needed before a valid deed can be delivered. The due diligence period in your contract is the practical deadline to verify authority, resolve title and survey issues, and decide whether to proceed.

Key Requirements

• All owners (or authorized fiduciary) must sign: To convey full title, every record owner must execute the deed or a legally authorized fiduciary must do so.
• Contracts bind only signers: A purchase agreement signed by some co-owners cannot compel a non‑signing owner to sell their interest.
• Fiduciary authority must be verified: If an owner is an estate, guardian, or trust, obtain Letters/Orders or trust certificates showing power to sell; some sales require Clerk authorization.
• Estate-sales timing safeguards: If heirs are selling within two years of a death, a personal representative often must join the deed and notice to creditors should be addressed to protect title.
• Use due diligence to cure issues: Order title work and a survey to address the “garage” concern; seek an easement, encroachment agreement, repair, or contract extension to cure before closing.

What the Statutes Say

• North Carolina Gen. Stat. § 41-2 (Joint tenancy; survivorship) – Survivorship is not presumed; co-owners often hold separate shares that each must convey.
• North Carolina Gen. Stat. § 28A-17-12 (Sales by heirs; personal representative joinder) – Heirs’ sales, especially within two years of death, commonly require the personal representative’s joinder to protect against estate claims.
• North Carolina Gen. Stat. § 28A-17-9 (Contract to convey; decedent seller) – If a seller dies under contract, the personal representative, not the heirs, typically completes the conveyance.
• North Carolina Gen. Stat. § 35A-1301 (Guardian; sale of ward’s real estate) – Guardian sales require a Clerk’s order and follow judicial sale procedures.

Analysis

Apply the Rule to the Facts: Because one co-owner has not signed, you do not yet have a contract binding all owners to convey full title. Your closing attorney should run title to confirm who must sign and whether any owner is acting through an estate, guardianship, or trust. Use your due diligence period to obtain the missing signature or proper authority, and to address the “garage situation” through a survey and a curative agreement (e.g., easement or encroachment agreement). If authority or signatures cannot be secured by your deadline, seek an extension or consider terminating under your contract terms.

Process & Timing

1. Who files: Buyer (through the closing attorney) requests all required seller signatures and authority documents. Where: Private transaction; if a fiduciary is involved, filings occur with the Clerk of Superior Court in the county where the land sits. What: Contract addenda for additional signers; if applicable, a fiduciary petition for authority to sell. When: Before your due diligence period expires.
2. If title shows an estate, guardian, or trust: the personal representative, guardian, or trustee supplies Letters/Orders or trust documentation; some estate/guardian sales require a Clerk’s order and follow judicial-sale timelines (often several weeks to months, and may include an upset-bid period).
3. Final step: Once all owners (or authorized fiduciary) sign the deed and your survey/title issues (the “garage situation”) are cured by agreement, easement, or repair, you proceed to closing. If signatures/authority cannot be obtained, negotiate an extension or terminate per the contract.

Exceptions & Pitfalls

• Estate sales within two years of death: Heirs’ deeds often must include the personal representative and creditor-notice issues must be addressed, or the sale can be vulnerable to estate claims.
• Guardian or minor-owner shares: A court order is typically required before a guardian can convey; judicial-sale procedures and upset bids can affect timing.
• Partial performance risk: Buying only the signing owners’ undivided interests rarely suits a residential buyer; it can leave you co-owning with the holdout.
• Survey surprises: An encroaching garage may require an easement, boundary line agreement, or repair. Build in time and document the cure in writing before closing.
• Authority gaps: Ask for Letters (estate), court Orders (guardian), or trustee certificates. Do not assume an attorney’s email equals authority to convey.

Talk to a Real Estate Attorney

If you’re dealing with a missing seller signature or a title/survey issue on a North Carolina home, 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.