Detailed Answer

In North Carolina, a co-owner who prefers cash rather than a slice of the land can use the state’s partition laws to be paid instead of taking physical property. North Carolina’s partition statute, found in Chapter 46A of the North Carolina General Statutes, gives the court several tools to convert a co-owner’s interest into money while treating all owners fairly.

Four common ways to receive money instead of land

1. Voluntary buyout (private agreement) — Any co-owner can offer to buy another co-owner’s share at an agreed price. This is the fastest, least expensive option. Put the deal in writing and record any deed or lien releases.
2. Allotment with owelty (cash equalization) — In a partition case, the court can assign the whole property to one co-owner (or keep it with the co-owner in possession) and order that person to pay the others money to equalize values. That equalization payment is called “owelty,” and the court may secure it with a lien until paid. This lets a co-owner receive cash instead of land without forcing a sale. Authority for allotment, owelty, and commissioners’ valuations comes from Chapter 46A (Partition).
3. Partition by sale (sell the property and split the proceeds) — If dividing the land would cause injury to an owner (for example, it would destroy value or cannot be fairly divided), the court may order a sale and distribute the net proceeds among the co-owners. Partition sales are judicial sales conducted under North Carolina’s Judicial Sales procedures (Chapter 1, Article 29A), often with an upset-bid process to maximize price.
4. Heirs property buyout or sale (special rules for inherited property) — If the property qualifies as “heirs property” (co-owned by relatives and acquired from a deceased family member), North Carolina’s version of the Uniform Partition of Heirs Property Act (within Chapter 46A) requires an appraisal, gives co-owners a right to buy out the interests of those seeking a sale at the appraised value, and, if a sale is necessary, favors an open-market sale to get the best price. If you want money, you can either: (a) elect to have your share bought out at the court-approved value, or (b) ask the court to proceed to sale and receive your share of the proceeds.

How the process starts

Any co-owner may file a partition proceeding with the Clerk of Superior Court in the county where the property is located. The court will decide whether to partition in kind (physically divide), allot to one party with owelty, or order a sale. Commissioners or an appraiser may be appointed to determine fair values and whether a fair division is possible. See G.S. Chapter 46A (Partition).

What the court considers when you want money

• Feasibility of division — Can the land be fairly divided without hurting value?
• Relative interests — Each owner’s percentage and use of the property.
• Improvements and expenses — Who paid taxes, mortgage, insurance, and necessary repairs; who made value-adding improvements.
• Heirs property factors — If applicable, statutory factors favor in-kind division if practical; otherwise, an open-market sale or buyout at appraised value.

How money is calculated and distributed

Whether the court orders owelty or a sale, the court first settles “who gets what” on paper:

• Credits and reimbursements — Co-owners who paid necessary carrying costs (taxes, insurance, mortgage, necessary repairs) typically receive credits before dividing the balance.
• Improvements — A co-owner who added value can receive credit for the added value (not always the full cost).
• Rents and profits — If a co-owner exclusively used the property or collected rent, the court may adjust shares to account for that use.
• Liens — Owelty payments can be secured by a lien until paid. Sale proceeds pay costs, liens, and expenses before distribution.

Step-by-step: Asking for cash instead of land

1. Try a buyout first — Exchange proposals supported by a recent appraisal or broker price opinion.
2. File or respond to a partition — Request either (a) allotment to the other co-owner with owelty paid to you, or (b) partition by sale with proceeds distribution.
3. If heirs property — Ask the court to apply the heirs property procedures in Chapter 46A so you can be bought out at appraised value or proceed to an open-market sale.
4. Prepare valuation and accounting — Provide appraisals, proof of expenses you paid, and any rent received by others.
5. Sale (if ordered) — The court appoints a commissioner to conduct a judicial sale using the Article 29A procedures, including upset bids. After closing, the court disburses net proceeds.

Quick example

Two siblings own a house 50/50. One lives there and wants to keep it; the other wants cash. The court can assign the house to the sibling who wants it and order that sibling to pay the other sibling an owelty amount based on the home’s appraised value and after accounting for taxes, mortgage payments, and any rental value adjustments. If a buyout or allotment is not feasible, the court may order a sale and split the net proceeds.

Helpful Hints

• Ask for an appraisal early. It anchors negotiations, buyouts, owelty, and sales.
• Keep receipts for taxes, insurance, mortgage, and repairs. They can increase your net recovery.
• If you want cash, say so in your first filing and propose an owelty or sale alternative.
• Mediation often resolves buyouts faster than a contested hearing.
• Heirs property has special protections. Don’t skip the appraisal and buyout steps required under Chapter 46A.
• Judicial sales use an upset-bid period. Good marketing and timing can raise the final price.
• Deadlines matter. Respond promptly to court notices to preserve your preferred remedy.

Take the next step

If you want money instead of land, North Carolina law gives you several paths: a negotiated buyout, court-ordered allotment with owelty, or a sale with proceeds distributed after fair credits. Our attorneys handle valuation, accounting, and courtroom strategy under Chapter 46A and judicial sale rules in Article 29A to help you achieve a cash outcome. Call us today at (919) 341-7055 to discuss your options.