Legal Question in Real Estate Law in Oregon

Re: How to split house purchased together, when relationship ends

In a situation where a house is in the names of two unmarried individuals, the split of ownership is treated like the break-up of any partnership.

Situations like yours are why I recommend that unmarried individuals who decide to purchase a house together enter into a written partnership agreement before they buy the house. It is always to be fair with each other while you are still friends.

If the house is the only property the two of you own, and there are not other domestic issues (like children) that need to be addressed, you need to disolve the homeowning partnership. If you cannot do that together, or with the use of a third-party mediator, then it requires litigation.

They typical mechanism is to petition the court to order the property sold and the interests divided (a "partition" suit). Although this legally requires a sheriff's sale, I find that most partners ultimately agree to either (1) one buy the other out or (2) list the property with a real estate agent and sell it that way (which usually results in a higher sales price than with a sheriff's sale).

Our office has handled a number of the matters and offers a low cost initial consultation.