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Real Estate Principles and Practices Chapter 4 Land Use Controls © 2014 OnCourse Learning.

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Presentation on theme: "Real Estate Principles and Practices Chapter 4 Land Use Controls © 2014 OnCourse Learning."— Presentation transcript:

1 Real Estate Principles and Practices Chapter 4 Land Use Controls © 2014 OnCourse Learning

2 Key Terms Assemblage Buffer zone Building codes Cluster lots Covenants Deed restrictions Dominant tenant Down zoning Easement Easement appurtenant Easement in gross Encroachment Homogeneous Interstate Land Sales Full Disclosure Act License Master plan Nonconforming use

3 © 2014 OnCourse Learning Key Terms Planned unit development (PUD) Plat Police power Servient tenant Setback Spot zoning Variance Zero lot lines Zoning

4 © 2014 OnCourse Learning Overview Government’s right to exercise control over the use of land

5 © 2014 OnCourse Learning Federal Controls on Land Use Land set aside for park area Federal laws covering disposition of real estate Interstate Land Sales Full Disclosure Act Real Estate settlement Procedures Act (RESPA) Assumable Mortgages Civil Rights Act of 1968

6 © 2014 OnCourse Learning State and Local Controls on Land Use Police power: Police power: power of government to regulate land use Master plan: Master plan: zoning laws, building codes and subdivision regulations

7 © 2014 OnCourse Learning State and Local Controls on Land Use Master plan Considers physical, economic, and social conditions Guide for growth Homogeneous: Homogeneous: compatible uses result in stable values

8 © 2014 OnCourse Learning Zoning R-1 through R-7 R-1: most restrictive requires large lots Minimum square footage Minimum lot width setbacks Minimum front, side, and rear setbacks

9 © 2014 OnCourse Learning Zoning O-1: office use C-1:neighborhood business C-2: community business C-3: general business C-4: central business

10 © 2014 OnCourse Learning Changes in Zoning Special use Special use permits: allow conversion of property to another use Conditional use Conditional use permit: use beneficial to the public Exclusionary zoning: Exclusionary zoning: large lots excludes those who cannot afford the land cost Inclusionary zoning: Inclusionary zoning: requires lower income properties

11 © 2014 OnCourse Learning Changes in Zoning Moratorium: Moratorium: halts construction Zoning freeze Amendment: Amendment: Allows a zoning change

12 © 2014 OnCourse Learning Changes in Zoning Use is in violation of present zoning, but was lawful when begun “Grandfather” – zoning is not retroactive

13 © 2014 OnCourse Learning Changes in Zoning Zoning of isolated properties inconsistent with existing regulations Law does not favor spot zoning

14 © 2014 OnCourse Learning Changes in Zoning An exception to the zoning ordinance Use may not be detrimental to the public

15 © 2014 OnCourse Learning Changes in Zoning Property rezoned to a lower use New use does not use land to its highest and best use Compensation

16 © 2014 OnCourse Learning Procedure for Rezoning or Variance Applicant contacts planning department Planning department inspects site and makes recommendations Hearing announcement placed in the newspaper Hearing is held Public may speak for and against

17 © 2014 OnCourse Learning Procedure for Rezoning or Variance If approved – ordinance is prepared City council holds 3 meetings If approved – zoning becomes effective

18 © 2014 OnCourse Learning Private Control of Land Use Deed Restrictions: Deed Restrictions: determine how a property may be used “subject to” Covenants: Covenants: regulate use of property If violated – may be suit for loss of value Nuisance complaint

19 © 2014 OnCourse Learning Easements Easement: Easement: right-of-way through the land or another Right of ingress and egress

20 © 2014 OnCourse Learning Easements Created by l aw, people, use Must be in writing 2 types Easement appurtenant Easement in gross Creation of an Easement

21 © 2014 OnCourse Learning Easements Right to use the adjacent land of another Two parties are always involved Two owners Dominant tenant: acquires benefit or gain Servient tenant: gives the easement Encumbrance Easement right transfers with the sale Easement by reservation Reserved or retained right of access Easement by grant

22 © 2014 OnCourse Learning Easements Personal or commercial No servient and dominant tenant Cannot be mortgaged or assigned and is not inheritable Given for a lifetime License: License: revocable, usually not in writing Commercial easement: Commercial easement: utility company or government agency

23 © 2014 OnCourse Learning Easements Easement of necessity: Easement of necessity: special need Landlocked Cannot be rescinded by the owner of the land

24 © 2014 OnCourse Learning Easements Profit a prendre: Profit a prendre: servient tenant allows dominant to remove mineral or soils Easement by prescription: Easement by prescription: acquired by long term continuous use of another’s property Party wall easement: Party wall easement: two owners share a common wall

25 © 2014 OnCourse Learning Easements Easement by perception is abandoned Dominant and servient properties merge Dominant tenant releases easement right Quiet title suit Easement is no longer necessary

26 © 2014 OnCourse Learning Encroachment Encroachment: when one owner’s property infringes onto another’s land. generally not covered by title insurance important for purchaser to have a survey


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