The "costs of partition"
California law defines a specific set of costs of partition that the court divides among the co-owners. They include: 1
- Reasonable attorney's fees incurred or paid by a party for the common benefit
- The referee's fee and expenses
- Fees of surveyors or others employed by the referee under contract
- The reasonable cost of a title report, with interest
- Other expenses the court finds were incurred for the common benefit
Who pays
- Default rule: the court divides the costs of partition among the parties in proportion to their ownership interests, or in another way that is equitable. 2
- Partition of Real Property Act cases: the court may include the appraisal fee, but it cannot charge the costs of partition to a party who opposes the partition unless doing so is equitable and consistent with the Act's purposes. 3
- Priority: costs assessed against an owner's share become a lien on that share, with priority over other liens on the share. 4
- From the sale: when the property is sold, proceeds pay the expenses of sale first, then the other costs of partition, then liens, and only then is the remainder distributed to the owners. 5
- Probate partitions are different: when beneficiaries partition estate property in probate court, the court apportions the expenses of partition, but each party pays their own attorney's fees. 6
Typical cost categories
| Cost | How it's set | Source |
|---|---|---|
| Filing the complaint (San Francisco) | $450 for an unlimited civil case (statewide fee $435 plus San Francisco's local courthouse surcharge), per the civil fee schedule effective January 1, 2026 | 7 |
| Defendants' first appearance | Defendants pay a first paper fee when they file a response. Check the current fee schedule. | 7 |
| Lis pendens recording and title report | Recording fees set by the Assessor-Recorder; title report cost is a cost of partition | 18 |
| Referee's compensation | Reasonable compensation fixed by the court | 9 |
| Appraisal (Partition of Real Property Act) | A cost of partition the court may apportion | 3 |
| Broker's commission on a sale | Fixed by the court; under the Partition of Real Property Act, the court sets a reasonable commission for the appointed broker | 1011 |
| Attorney's fees | Each party's own fees, except reasonable fees for the common benefit, which are a cost of partition | 1 |
| San Francisco transfer tax on a sale | Standard city rates, based on the sale price | 12 |
San Francisco transfer tax on a partition sale
| Sale price | Rate per $500 | Effective rate |
|---|---|---|
| More than $100 up to $250,000 | $2.50 | 0.50% |
| More than $250,000 and less than $1,000,000 | $3.40 | 0.68% |
| $1,000,000 to less than $5,000,000 | $3.75 | 0.75% |
| $5,000,000 to less than $10,000,000 | $11.25 | 2.25% |
| $10,000,000 to less than $25,000,000 | $27.50 | 5.50% |
| $25,000,000 or more | $30.00 | 6.00% |
Rates as published by the City and County of San Francisco. 12 A November 3, 2026 ballot measure (Proposition I) proposes restructuring the top two tiers; the voter guide states it would not raise the rate above today's level. 13 Check the city's page for current rates.
Property tax effects
- Partition in kind without changing shares: a transfer between co-owners that only changes how title is held, without changing their proportional interests (such as a partition of a tenancy in common), is not a change in ownership for property tax purposes. 14
- Buyouts: when an interest in part of a property is purchased, only the interest transferred is reappraised. 15
- Sale to an outside buyer: the property is reassessed as a change in ownership. 16
Ways co-owners commonly keep costs down
- Agreeing in writing on the method and terms of sale, which the court must follow. 17
- Agreeing on a value or valuation method, which the court adopts in Partition of Real Property Act cases instead of ordering its own appraisal. 18
- Agreeing on a referee, whom the court then appoints. 19
- Agreeing on a broker within 10 days of a sale order in Partition of Real Property Act cases. 11
- Using mediation. See Buyouts and Alternatives.
Sources
- California Code of Civil Procedure §874.010leginfo.legislature.ca.gov
- California Code of Civil Procedure §874.040leginfo.legislature.ca.gov
- California Code of Civil Procedure §874.321.5leginfo.legislature.ca.gov
- California Code of Civil Procedure §874.120leginfo.legislature.ca.gov
- California Code of Civil Procedure §873.820leginfo.legislature.ca.gov
- California Probate Code §11955leginfo.legislature.ca.gov
- Judicial Council of California, Statewide Civil Fee Schedule (effective January 1, 2026)courts.ca.gov
- SF Assessor-Recorder, "Recording a document"sf.gov
- California Code of Civil Procedure §873.010leginfo.legislature.ca.gov
- California Code of Civil Procedure §873.745leginfo.legislature.ca.gov
- California Code of Civil Procedure §874.320leginfo.legislature.ca.gov
- SF.gov, Transfer tax (rates)sf.gov
- San Francisco Department of Elections, Voter Information Pamphlet, November 3, 2026media.api.sf.gov
- California Revenue and Taxation Code §62leginfo.legislature.ca.gov
- California Revenue and Taxation Code §65.1leginfo.legislature.ca.gov
- SF Assessor-Recorder, "Learn about change in ownership"sf.gov
- California Code of Civil Procedure §873.600leginfo.legislature.ca.gov
- California Code of Civil Procedure §874.316leginfo.legislature.ca.gov
- California Code of Civil Procedure §873.040leginfo.legislature.ca.gov
