Legal Question in Real Estate Law in New York

There are a few possibilities, but if you want to avoid litigation, there must be agreement. Right now, your sister has very little incentive to enter into any agreement without at least the threat of litigaton, because she has what she wants -- possession of the house.

Since your sister can't buy you out, perhaps you can buy her out. That would involve an agreement by which she would have to vacate the house, because you are not likely to be able to sell an occupied house.

Or it may even be possible for your sister to buy you out if a mortgage can be obtained.

Or, the best solution is that you can together sell the house. Her share will presumably permit her to find other living arrangements and give her some money to serve as a cushion.

I can well understand that you would not want to commence a lawsuit against your sister. What I suggest is that you and your sister meet with an attorney to discuss the available options. In that way, it will not seem adversarial, because you both will be together exploring how to give value to an asset that you both co-own.

Good luck to you.

I agree with Michael and add that some rental agreement could be considered, where your sister is considered a tenant, and pays all bills like a tenant. If she refuses to consider any of these alternatives, suit may be required.