Sunday, June 4, 2017

Real Covenants (Affirmative & Restrictive) - Real Estate & Land Investing Terms

Affirmative & Restrictive Real Covenants

Okay, the secret is out.  I am currently studying for my bar exam.  In the process, I must study real property law and other areas of law that pertain to real estate and may be helpful to a real estate or land investor.  I figured since I was studying anyways, I might as well put each topic one video at a time.  I also started a YouTube channel which can be seen here.

Real Covenants.  A real covenant is "a promise that concerns the use of land."  There are two types of covenants; (1) a restrictive covenant and (2) an affirmative covenant. 

Restrictive covenant: Promises not to do something. 
Affirmative covenant: Promises to do something.

For example, if someone has 100 acres and is looking to sell 50 to a homesteader, he may include a covenant that states that the homesteader is to only build his barn a certain way to keep the aesthetic appeal of the neighborhood. This would be an affirmative covenant.

If the land owner has a covenant that states that the homesteader may not build a barn; this would be a restrictive covenant. 

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