What You Should Know Before Purchasing A House With Deed Restrictions

When you’re house hunting, you may come across a deed-restricted community. This means specific rules have been established within the community to limit property owners’ actions with the house and the land it’s built on. But what exactly are deed restrictions, and how do they work?

Let’s walk through some of the most common deed restrictions – and what they might mean for you if you buy a home with one.

What Is A Deed Restriction?

A deed restriction is a written agreement that limits how you can use your property. Deed restrictions can restrict what you build and how you might want to use your home or land. It’s a private agreement that “runs with the land,” meaning it’s connected to the land itself – not the structure built on it. In theory, this means that everyone who buys the home must obey any restrictions unless a specific expiration date is in place.

These restrictions often involve a homeowners association (HOA), which is a type of deed-restricted community. HOAs institute these standards to keep property values high.

What Are Common Deed Restrictions?

Here are some of the more common deed restrictions you’ll find:

• Vehicle restrictions: You might be limited in the number or type of vehicles you can have on your property. Motor homes, boats and travel trailers are all commonly banned vehicles.

• Pets and animals you can keep: Chickens, pigs and other livestock are often banned in residential areas. Restrictions may also apply to pets like dogs. A deed restriction might specify that property owners can’t have a dog over a certain weight or one that makes an excessive amount of noise.

• Backyard property that obstructs a neighbor’s view: This restriction can prevent you from building sheds or fences on your property. It can also stop you from planting tall trees or shrubbery. View-obstruction restrictions are common in resort areas and popular vacation destinations.

• The type of fencing you can build: Many deed-restricted communities ban chain-link fencing and very tall privacy fences. Fencing restrictions are one of the most common deed restrictions.

• Limitation on home-run businesses: Most HOAs introduce these restrictions to prevent excessive traffic. This can create issues if you’re a small-business owner who works from home.

• Types of structures or renovations you can complete: Some homes have restrictions requiring you to get approval from your HOA before you can build a new structure or renovate your house. This restriction keeps the homes within a development looking uniform.

• Exterior color palettes allowed: You may be limited on siding color options. Your HOA might provide you with a list of approved colors to choose from or a list of colors that are against the rules. Stricter HOAs may not allow you to change your home’s color at all.

• Other property you may keep in your front yard or driveway: Some common examples of banned items include boats and boat trailers, work trucks, cars without license plates, and storage sheds. This can also include things like requiring that your trash or recycling bins be hidden from view until pickup days.

It’s important to research each house you’re interested in to see if the property has any deed restrictions. This information can help you decide whether to make an offer on a home, and it can prepare you for the potential limitations of living there.

How Do I Know I’m Looking At A Deed-Restricted Home?

Deed restrictions can impact how you can use, decorate and enjoy your home. In many states, the seller is required by law to disclose deed restrictions. However, here are a few additional ways you can find out whether the home has any deed restrictions:

• Talk with your real estate agent. Your real estate agent or REALTOR^® can look at previous listings of your property. These listings may note if the land has restrictions. Agents can also pull property records to see if any noted restrictions exist.

• Ask a title company to do a search. Deed restrictions will always show up on a title search. When requesting a title search, you might need to specifically ask if the home has restrictions.

• Talk with the head of the HOA. Many deed restrictions come from HOAs. The head of your HOA may be able to show you any restrictions on the home’s property records.

• Speak with someone from your local government. Municipal clerks and urban planning departments keep public property records on file. You might be able to find your home’s restrictions by visiting your local clerk’s website and doing a search.

It’s important to note that deed restrictions and HOA rules can sometimes overlap. If an HOA rule doesn’t turn up with a title search, it’s likely not a deed restriction but rather a rule that’s been agreed upon within the community.

How Long Do Deed Restrictions Last?

A deed restriction might expire a certain number of years after the home is built. On the other hand, public records might put an unlimited time frame on the restriction. HOA rules typically stick around until a resident tries to change them.