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Posted: Tuesday, August 27, 2024
Author: Vinny Delgado, Partner, Ranch Sales | Licensed in MT
Dear Vinny,
I'm finally getting serious about my decision to own land. I've stumbled upon a few properties that piqued my interest. However, I'm concerned about the potential restrictions on these properties. Can you explain what deed restrictions are and how they might impact my plans for the property? How could they affect the property's value, and can they be removed?
Dear Deed,
Deed restrictions are recorded on the property's deed and restrict any owner from doing certain things on the property. These restrictions can be anything from designated build sites and sizes to not allowing pig farms on the property. Deed restrictions are very similar to Conservation Easements. The severity of the restrictions can certainly impact value, and typically, the more restrictive, the more the value is affected. Unlike most Conservation Easements, it is possible to have Deed Restrictions removed; however, it requires agreement and cooperation from the individual who imposed these restrictions when they were recorded on the deed.
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