Recovering Maintenance Costs and Property Taxes After a Co-Owner’s Death in North Carolina
Short Answer
The paying heir or co-owner can recover necessary upkeep expenses by (1) filing a claim in the estate, (2) demanding contribution, or (3) asking the court for an accounting during a partition action. North Carolina law gives judges power to award reimbursement and, if needed, a lien against the property.
Detailed Answer
1. Start with the estate, if it is still open.
When a co-owner dies, the personal representative must settle all just debts of the estate N.C. Gen. Stat. § 28A-15-1. Reasonable and necessary expenses that preserved estate property—such as property taxes, insurance, or emergency repairs—are “administration expenses.” File an itemized claim with receipts before the statutory deadline (generally 90 days after the notice to creditors is published). If approved, you will be paid from estate funds before heirs inherit.
2. If the estate has closed or lacks funds, demand contribution.
Each heir owns an undivided interest from the moment of death. Under Chapter 46A (North Carolina’s Partition Law) a cotenant who pays more than his or her fair share to preserve or protect the property is entitled to contribution. Send a written demand to the other heirs that details:
- Dates of payments
- Purpose of each payment
- Your percentage ownership and the amount owed by each cotenant
If the parties agree, you can sign a private reimbursement agreement or deduct the amount from the net sale proceeds when the property is sold.
3. File a partition action and request an accounting.
When co-owners will not reimburse voluntarily, you can file a petition for partition (sale or in-kind division) in the clerk’s office where the land lies. In the petition, include a verified accounting claim for taxes, insurance, mortgage interest, or necessary repairs you paid. The clerk or a superior court judge may:
- Order the non-paying owners to contribute cash, or
- Credit your expenditures against their share of sale proceeds, or
- Create a lien (sometimes called an owelty lien) in your favor, see § 46A-61.
Hypothetical Example
Maria and Carlos inherit their parents’ Wake County rental home 50/50. The estate closes with no cash on hand. Maria pays $4,800 in county taxes and $1,200 for HVAC repairs over two years while Carlos refuses to contribute. Maria files a partition sale. She submits receipts showing $6,000 in preservation expenses. At closing, the clerk credits Maria’s $6,000 off the top before the remaining net proceeds are split equally.
Helpful Hints
- Keep every receipt and bank statement—proof is essential.
- Insurance, taxes, mortgage interest, and emergency repairs are usually reimbursable; improvements that increase value (new deck, remodel) may be only partially credited.
- File your estate claim before the bar date expires or you may lose priority status.
- Send all heirs a written demand first; courts like to see that you tried to resolve the dispute informally.
- In partition, ask for interest on your out-of-pocket costs; judges have discretion to award it.
- Document use—if one cotenant had exclusive possession, you may also claim a credit for fair rental value.
- Do not stop paying taxes while the case is pending; tax liens can wipe out everyone’s equity.
Take the Next Step
If you have covered property taxes or maintenance after a co-owner’s death, North Carolina law offers several paths to repayment—but strict deadlines and procedural rules apply. Our firm handles partition and estate contribution claims statewide. Call our office at (919) 341-7055 for a confidential, no-obligation conversation about protecting your investment today.
