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Define Restrictive Covenants in Real Estate
Restrictive Covenants:
Restrictive Covenants are rules that are set in place to govern the use of a property or land. These covenants can be included in a deed, and are legally binding on any future owners of the property.
Example:
For example, a restrictive covenant may prohibit the use of a property for commercial purposes, or limit the types of modifications or alterations that can be made to a home.
"A Deep Dive for Real Estate Agents and Appraisers"
Here are a few more things to keep in mind regarding Restrictive Covenants:
- Restrictive Covenants can be created by developers or property owners as a way to ensure the quality and character of a neighborhood or development.
- These covenants can limit the use of the property, the size and style of homes, and even the type of plants that can be used for landscaping.
- It's important to carefully review and understand any Restrictive Covenants that apply to a property before buying it. Failure to comply with these covenants can result in fines or legal action.
- Restrictive Covenants can be modified or removed through legal action or by agreement of the property owners subject to the covenant.
- These covenants can be an important tool for maintaining the value and character of a neighborhood or development, but they can also limit the rights of property owners. It's important to carefully consider the potential impact of these covenants when buying or developing property.
"Wit & Whimsy with the Dumb Ox: Unlocking Knowledge with Rhyme:"
Restrictive Covenants are rules to obey,
They're in the deed and legally stay.
They limit what can be done with a property,
To keep it looking good, and in its quality.