Understanding Deed Restrictions: What You Need to Know
What are deed restrictions and how do they impact property owners?
Deed restrictions can place limitations on how you can use your property. These restrictions may dictate what you can build and participate in on your property. How do deed restrictions affect property owners?
Deed Restrictions and Their Impact on Property Owners
Deed restrictions are stipulations in a property deed that restrict the use of the property and prohibit certain activities. Typically set by land developers, deed restrictions can include requirements such as minimum house sizes, setback lines, and aesthetic standards. When a property has deed restrictions, they generally affect the property itself rather than the owner.
Deed restrictions are usually found in public real estate records at the county level. Homeowners associations (HOAs) are often involved in implementing and enforcing deed restrictions in communities. These restrictions serve to maintain property values and preserve the overall look and feel of the neighborhood.
Deed restrictions play a crucial role in shaping the behavior of property owners within a community. They help ensure that properties are used in a manner that is consistent with the vision of the developer or the community as a whole. For example, deed restrictions may prevent homeowners from running certain types of businesses from their homes or making significant alterations to the exterior of their properties.
If a deed restriction conflicts with a law, particularly a fair housing law, the law takes precedence over the deed restriction. This means that the deed restriction becomes unenforceable, and the property owner is not bound by its terms. For instance, if a deed restriction prohibits the sale of a house to a specific ethnic group but violates the Fair Housing Act's prohibition on discrimination based on race, the fair housing law would supersede the deed restriction.
Overall, understanding deed restrictions is essential for property owners to ensure compliance with the rules governing their properties. By familiarizing themselves with deed restrictions, property owners can avoid legal issues and maintain a harmonious relationship within their community.