Run with the Land

Definition

“Run with the Land” is a real estate term indicating that a specific right or restriction associated with a property is binding on all current and future owners of that property. This means that once a covenant or restriction is written into the deed of the property, it remains in force regardless of ownership changes unless explicitly removed or voided legally.

Examples

Covenant Prohibiting Specific Use: A property deed may include a covenant that prohibits the property from being used as a liquor store. This restriction runs with the land, meaning that all subsequent owners are also prohibited from using the property as a liquor store.
Easement Right: An easement allowing neighbors the right-of-way access through a property. This easement runs with the land, ensuring that future owners must also allow this right-of-way access.
Architectural Restrictions: The original developer of a residential subdivision may impose architectural restrictions, such as specifying that all homes built must maintain a particular exterior design standard. These restrictions typically run with the land.

Frequently Asked Questions (FAQs)

Q1: How can one determine if a right or restriction runs with the land?

A1: This can usually be determined by reviewing the property’s deed, title report, or any recorded covenants, conditions, and restrictions (CC&Rs) associated with the property. Legal advice from a real estate attorney may be required for clarification.

Q2: Can a restriction that runs with the land be removed?

A2: Yes, in some cases, restrictions can be removed. This often requires legal action or consent from the parties who were originally responsible for imposing the restriction.

Q3: What is the difference between a “run with the land” restriction and a personal agreement?

A3: A “run with the land” restriction is attached to the property itself and is binding on all future owners, while a personal agreement typically affects only the parties currently involved and does not pass on to future owners.

Q4: Are there any financial implications for ignoring a covenant that runs with the land?

A4: Yes, there can be significant financial and legal implications, including fines, litigation costs, and potential voiding of sales or transfers of the property.

Q5: Do homebuyers need to be informed about covenants that run with the land prior to purchase?

A5: Yes, homebuyers should fully understand any covenants that run with the land, which usually form part of the title search process during the purchasing phase.

Covenant

A binding agreement written into the deed of a property, often specifying particular uses or restrictions that affect the property.

Easement

A legal right to use another’s land for a specific limited purpose. Easements often run with the land, meaning they are binding on future owners.

Deed

A legal document that represents ownership of property. It may contain covenants and restrictions that run with the land.

Encumbrance

A claim or liability attached to a property, such as a lien, deed restriction, or easement, that may diminish its value or limit its use.

Online Resources

References

“The Language of Real Estate” by John W. Reilly.
“Real Estate Law” by Robert J. Aalberts.

Suggested Books for Further Studies

“The Essentials of Real Estate Law” by Lynn T. Slossberg
- Provides in-depth legal principles and case studies related to real estate law.
“Real Estate Principles” by Charles F. Floyd & Marcus T. Allen
- An all-encompassing guide to principles of real estate including legal frameworks governing the field.

Real Estate Basics: Run with the Land Fundamentals Quiz

### What does "Run with the Land" mean in real estate? - [ ] It is a temporary agreement between a seller and buyer. - [x] It refers to rights or restrictions that apply to all current and future owners. - [ ] A legal framework only applicable to zoning laws. - [ ] A placeholder for future agreements. > **Explanation:** "Run with the Land" refers to rights or restrictions that continue to apply to all future owners of a property as specified in the property’s deed. ### Which document typically details rights or restrictions that run with the land? - [ ] A lease agreement - [x] The deed - [ ] A purchase invoice - [ ] Homebuyer’s insurance policy > **Explanation:** Rights or restrictions that run with the land are usually detailed in the property’s deed. ### Is it possible to remove a restriction that runs with the land? - [x] Yes, under certain circumstances and usually with legal action. - [ ] No, it is permanently fixed. - [ ] Yes, but only by the current owner. - [ ] No, it can only be voided after property demolition. > **Explanation:** Restrictions that run with the land can sometimes be removed, usually through legal procedures or mutual consent from relevant parties. ### What is an example of a covenant that runs with the land? - [x] A restriction prohibiting the property from being used as a liquor store - [ ] A temporary lease agreement - [ ] A neighbor’s personal preference on garden aesthetics - [ ] A private handshake deal > **Explanation:** A covenant prohibiting the property from being used as a liquor store is an example of a restriction that runs with the land. ### What could be a financial implication for violating a restriction that runs with the land? - [ ] Increased rent costs - [x] Fines or litigation costs - [ ] Lower property taxes - [ ] Immediate property foreclosure > **Explanation:** Violating a restriction that runs with the land can lead to fines or litigation costs and other potential legal repercussions. ### Who may need to be consulted to determine if a right or restriction runs with the land? - [ ] A marketing consultant - [x] A real estate attorney - [ ] A local shop owner - [ ] A neighboring property owner > **Explanation:** A real estate attorney can provide the necessary legal advice and review the property deed or other related documents to determine if a right or restriction runs with the land. ### What is typically required to legally remove a covenant that runs with the land? - [x] Legal action or mutual consent from original parties - [ ] An increase in property insurance - [ ] Approval from local tenants - [ ] A notarized letter of intent > **Explanation:** Removing a covenant that runs with the land usually requires legal action or mutual consent from the original parties who created the covenant. ### What should homebuyers review as part of their due diligence according to this term? - [x] The property's deed and any recorded covenants - [ ] The neighbor's opinion on property aesthetics - [ ] The historical land use only - [ ] The property’s interior design catalog > **Explanation:** Homebuyers should review the property's deed and any recorded covenants to ensure there are no unexpected restrictions or rights that run with the land. ### How do neighbors benefit from rights that run with the land like easements? - [ ] It allows them to park in your driveway. - [ ] It grants them ownership of a portion of the land. - [x] It allows them legal access or use of a specific part of your property. - [ ] It automatically converts into a deed to them over time. > **Explanation:** Easements that run with the land can allow neighbors legal access or use-specific parts of your property for designated purposes. ### If a covenant runs with the land, who is bound by it? - [ ] Only the current owner - [ ] Just the original homeowner - [x] All current and future owners - [ ] Owners from adjoining properties > **Explanation:** A covenant that runs with the land is binding on all current and future owners of the property.