Short Answer

In North Carolina, being a co-owner on title alone does not require a lender to share loan details with you. But in a partition case, you can obtain payoff, reinstatement, and deed of trust information by issuing a subpoena or by adding the lender as a party so the court can order disclosure. If foreclosure is looming, move quickly—partition sales pay liens first and often use the judicial sale process with upset bids.

Understanding the Problem

In North Carolina, you want to know: can you, as a co-owner, get the lender’s mortgage and deed of trust information to protect the property and move a partition forward? Here, your sibling is on the mortgage, no one is paying, and foreclosure risk is rising. You need reliable payoff and loan status information to plan a partition by sale or other relief with the Clerk of Superior Court.

Apply the Law

Under North Carolina law, a partition is a special proceeding started with the Clerk of Superior Court in the county where the land lies. The court can divide the land in kind or order a sale, with liens (like a deed of trust) paid from sale proceeds before co-owners receive their shares. Lenders are not required to release borrower-only loan details to a non-borrower co-owner outside of litigation, but in a partition proceeding you may use subpoenas to the servicer and, when appropriate, join the deed of trust holder so the court can compel disclosures needed to administer the sale and distribute proceeds. If disputes beyond the clerk’s authority arise (for example, equitable claims tied to a refinance), the matter can be transferred to Superior Court.

Key Requirements

• Proper forum: File a partition special proceeding with the Clerk of Superior Court in the county where the property is located.
• Lien treatment: Deeds of trust remain attached to the property until a judicial sale; liens are paid from sale proceeds before any distribution to co-owners.
• Access to loan information: Use a Rule 45 subpoena to the servicer for payoff, reinstatement, payment history, and deed of trust documents; consider adding the lender as a party if lien priority or payoff sufficiency is at issue.
• Court authority: The clerk can order a sale and oversee distribution; if equitable defenses/claims arise, the case may be transferred to Superior Court for resolution.
• Time sensitivity: A pending foreclosure can overtake a partition; seek relief and disclosures promptly.

What the Statutes Say

• N.C. Gen. Stat. Chapter 46A (Partition of Real Property) – Procedures to divide or sell co-owned property and handle liens.
• N.C. Gen. Stat. Chapter 1, Article 29A (Judicial Sales) – Rules for court-ordered sales, including upset bids and distribution.
• N.C. Gen. Stat. 1A-1, Rule 45 (Subpoena) – Tool to compel lenders/servicers to produce payoff and loan records.
• N.C. Gen. Stat. § 1-301.2 (Transfer of Special Proceedings) – Allows transfer to Superior Court when issues of fact or equitable relief are raised.

Analysis

Apply the Rule to the Facts: You’re a co-owner, but not on the loan; the sibling is on the mortgage and payments have stopped. Outside court, the servicer may refuse to share borrower-specific details. Inside a partition proceeding, you can subpoena the servicer for payoff and loan status and, if needed, join the deed of trust holder so the court can ensure the lien is satisfied at sale. Because foreclosure risk is rising, filing promptly helps you obtain figures and seek coordinated relief before a sale occurs.

Process & Timing

1. Who files: Any co-tenant (you). Where: Clerk of Superior Court in the North Carolina county where the property sits. What: Petition for partition (typically requesting a sale), plus motions to issue Rule 45 subpoenas to the servicer and, if appropriate, to add the deed of trust beneficiary/trustee as parties. When: File immediately if foreclosure is threatened.
2. Clerk determines whether to partition in kind or by sale; in most encumbered, single-home cases, a sale is typical. Subpoena responses for payoff/reinstatement figures often follow within a few weeks, but timing can vary by servicer and county practice.
3. If a sale is ordered, a commissioner conducts a judicial sale under Article 29A with a 10-day upset-bid period. Closing pays the lender first from proceeds; the clerk oversees distribution of any remaining funds among co-owners.

Exceptions & Pitfalls

• Lender privacy rules: Without a subpoena, court order, borrower consent, or personal representative authority, servicers often refuse to share details.
• Not joining lienholders: If there’s doubt the sale will fully satisfy the deed of trust, add the lender to avoid delays and ensure proper payoff from proceeds.
• Discovery scope: The clerk can limit discovery. Complex disputes (e.g., allegations tied to a refinance or equity withdrawals) may force transfer to Superior Court.
• Foreclosure overlap: A pending foreclosure can outpace a partition; monitor notices and respond quickly.
• Accounting between co-owners: Expect adjustments for mortgage payments, rents, or waste when the court distributes net proceeds.

Talk to a Partition Action Attorney

If you’re dealing with a co-owned home, a recent mortgage, and looming foreclosure, 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.