Covenants not disclosed prior to closing

what is the name of your state? south carolina

i recently purchased a home, with the intent to eventually put two horses on my lot. the first question to my agent prior to closing was "are horses allowed?" the answer was yes -- i received this via e-mail and telephone. he told me that there are horses right down the street (i found out later that those horses are in a different subdivision), and had been told for years (by whom, i don't know) that horses are okay in the subdivision. i also checked with the local zoning department, and they verified that all kinds of livestock were permissible in this rural zone. an hour before closing, my agent gave me a copy of the covenants and restrictions for the subdivision. i quickly skimmed the document and trusted that my agent had reviewed the document in my best interest. at closing, i also mentioned to the seller's agent that we were eventually going to clear the lot for horses. we received no comments from him, just a smile and "good luck". i closed on the house, and then two weeks later i am reading the covenants and restrictions and am shocked to see that horses and other livestock are prohibited. i have already put thousands of dollars into improving the home. both of the real estate agents told us to go ahead and put the horses in the yard, no one will care. i thought to myself, "bad idea, let's do this the legal way". i am not sure what legal action a resident of the subdivision could take against me for violating the covenants, so i had better not risk it.

so, i contacted the gentleman who originally owned the subdivision land and who wrote the covenants and restrictions, to see if we could have them modified. he would not budge on the issue. he does not live in the subdivision (he lives 100 miles away), but retains rights to enforce and modify the restrictions. there is no homeowners association, per se, just this one guy who for some reason retains these rights. i am not sure what his interest in the properties are now, since he has already made his money and headed into the sunset.

i now live in a home that does not fit my needs. i never would have purchased the home if i knew before closing that horses were not permitted. any suggestions? i have not consulted a lawyer yet, but am wondering who is at fault (me? my agent? seller's agent?) and if it would be reasonable to sue for relocation expenses, closing costs, etc.

[Bigfoot]

The fault is yours. Your realtor furnished the requirement documents. Your efforts in challenging the subdivision regulations will require legal action.

[HomeGuru]

Originally posted by caseydilla1
what is the name of your state? south carolina

i recently purchased a home, with the intent to eventually put two horses on my lot. the first question to my agent prior to closing was "are horses allowed?" the answer was yes -- i received this via e-mail and telephone. he told me that there are horses right down the street (i found out later that those horses are in a different subdivision), and had been told for years (by whom, i don't know) that horses are okay in the subdivision. i also checked with the local zoning department, and they verified that all kinds of livestock were permissible in this rural zone. an hour before closing, my agent gave me a copy of the covenants and restrictions for the subdivision. i quickly skimmed the document and trusted that my agent had reviewed the document in my best interest. at closing, i also mentioned to the seller's agent that we were eventually going to clear the lot for horses. we received no comments from him, just a smile and "good luck". i closed on the house, and then two weeks later i am reading the covenants and restrictions and am shocked to see that horses and other livestock are prohibited. i have already put thousands of dollars into improving the home. both of the real estate agents told us to go ahead and put the horses in the yard, no one will care. i thought to myself, "bad idea, let's do this the legal way". i am not sure what legal action a resident of the subdivision could take against me for violating the covenants, so i had better not risk it.

so, i contacted the gentleman who originally owned the subdivision land and who wrote the covenants and restrictions, to see if we could have them modified. he would not budge on the issue. he does not live in the subdivision (he lives 100 miles away), but retains rights to enforce and modify the restrictions. there is no homeowners association, per se, just this one guy who for some reason retains these rights. i am not sure what his interest in the properties are now, since he has already made his money and headed into the sunset.

i now live in a home that does not fit my needs. i never would have purchased the home if i knew before closing that horses were not permitted. any suggestions? i have not consulted a lawyer yet, but am wondering who is at fault (me? my agent? seller's agent?) and if it would be reasonable to sue for relocation expenses, closing costs, etc.

**A: if you completed your due diligence and reviewed the CC&R's, title report, zoning etc. prior to closing, you would not have had the problem.

and it gets more confusing to me, maybe it's time to hire that attorney to see if i have a case...

after further review of the covenants and restrictions today, i noticed that the covenants and restrictions my realtor had given me before closing were for an adjacent subdivision, not my subdivision. they look exactly the same because they were prepared with similar language and by the same owner for some other property he owned.

i suppose it is my responsibility to check my realtor's work, but this seems awfully negligent on his part. first he tells me information that simply is not true, then he gives me the wrong information an hour before closing and tells me i have nothing to worry about.

any thoughts?
thanks home guru and others for your previous input.

if you are interested in seeing my distraught wife's take on this, see her post at [URL=http://www.ultimatedressage.com/phpBB/viewtopic.php?p=4118846]Ultimate Dressage[/URL]

[Souix]

Originally posted by caseydilla1
and it gets more confusing to me, maybe it's time to hire that attorney to see if i have a case...

after further review of the covenants and restrictions today, i noticed that the covenants and restrictions my realtor had given me before closing were for an adjacent subdivision, not my subdivision. they look exactly the same because they were prepared with similar language and by the same owner for some other property he owned.

i suppose it is my responsibility to check my realtor's work, but this seems awfully negligent on his part. first he tells me information that simply is not true, then he gives me the wrong information an hour before closing and tells me i have nothing to worry about.

any thoughts?
thanks home guru and others for your previous input.

if you are interested in seeing my distraught wife's take on this, see her post at [URL=http://www.ultimatedressage.com/phpBB/viewtopic.php?p=4118846]Ultimate Dressage[/URL]

***As a real estate broker for 20 plus years we are always being told to make sure what we tell people is the absolute facts. The CC&Rs on this property should have been given to you before you even made an offer on this property, not at closing. I think you do have a case against your Realtor and the Listing Realtor for misrepresentation. Good luck and hire an attorney!***

[HomeGuru]

I agree with Souix, except it is customary to be given the CC&R's after the offer has been accepted, but in any case, way before closing.

[Souix]

Originally posted by HomeGuru
I agree with Souix, except it is customary to be given the CC&R's after the offer has been accepted, but in any case, way before closing.

I usually have people read a copy before they write an offer so they can see what they are getting themselves into

[HomeGuru]

Ok, that's great except in cases where there is none available, HOA's and management companies charge $250-$350 for a set.

[Souix]

Originally posted by HomeGuru
Ok, that's great except in cases where there is none available, HOA's and management companies charge $250-$350 for a set.

Really? Not here. The title company sends us a copy with our listing packages and then we just keep a copy in our office for the subdivisions that have them. They are usually recorded so pulling a copy isn't difficult just sometimes voluminus

[HomeGuru]

Originally posted by Souix
Really? Not here. The title company sends us a copy with our listing packages and then we just keep a copy in our office for the subdivisions that have them. They are usually recorded so pulling a copy isn't difficult just sometimes voluminus

**A: you mean to say in your area, if I listed condo units in 10 different projects, the title company will send out CC&R's for all 10 at no charge?

[Souix]

Originally posted by HomeGuru
**A: you mean to say in your area, if I listed condo units in 10 different projects, the title company will send out CC&R's for all 10 at no charge?

***Yes!....but I usually keep a master copy in our office file if these are units in our general area that we sell in alot.***

[HomeGuru]

Wow, you must have some huge storage space.

[Souix]

Originally posted by HomeGuru
Wow, you must have some huge storage space.

***Oh no not really. We are a rural community and there are not many condos around here. The only places that have the CC&Rs are the subdivisions and there aren't a whole lot of them either. So we have one set for each subdivision and make copies for our listing file. My principal broker has made it mandatory that we have a copy in our listing file if there are cc&rs for that property. It could be different in major cities but I don't remember charging for them when I worked for the title company in Portland either.***

[HomeGuru]

So you have a copy on file. What happens when the HOA amends the CC&R's; how do you get a copy then, since it would not always be recorded? Then there are meeting HOA minutes etc.

[Souix]

Originally posted by HomeGuru
So you have a copy on file. What happens when the HOA amends the CC&R's; how do you get a copy then, since it would not always be recorded? Then there are meeting HOA minutes etc.

***The homeowner would know. If it is a foreclosure the listing agent would have gotten a copy for their listing file. Also, they would be listed on the PTR. The title company doesn't charge for making copies of the listed exceptions. In fact, I had no idea they charge such high prices for these things in other states. I guess we're lucky. I must tell my colleques to guard them like jewels ***