Question about Covenant or if there is another option

[isis297]

What is the name of your state? MD

Though we don't want to, we have to sell a house that has been in our family since 1942. The house really means a lot to my mom and me and if we could keep it we would but it just isn't possible. We are really concerned about the property being developed like what is happening all over the neighborhood. We would really like to make sure that the house and property are protected from being demolished and the land subdivided in the future.

We tried getting an easement through the Historic Trust but didn't meet their requirements. They said maybe in about 20 years we would. I checked with Environmental Protection who only deals with multi-acred farm land and last spoke with Baltimore County about getting the house on the landmark registry. They seemed to think that we had a better chance because we could give some history about the house locally and their requirements are less stringent than the Historic Trust's.

I've since found out that the majority of the property is in the city though. I got them backwards since my mom is the one who pays the taxes to both. I plan on looking into the rules and procedure for getting on the landmark registry for the city but was told that with either, it can take 6 to 8 months to even get approved. We don't have that kind of time as the house needs to be sold by the end of the year.

What other options do we have? Someone mentioned we could have a covenant attached to the deed but I have NO idea what this means. How do you do something like that and can we really protect the house and the property's future that way regardless of how many times the house is sold after this time? (Is it something that carries over from buyer to buyer?)

I appreciate your advice.

 

[lcannister]

Other than being in the family for 55 ish years what is so special as to make it a historic site? Then get people involved who are gungho over such issues and they might be able to help.

Putting such a restraint on the property will make it harder to sell if all you have to go on is sentimantal value over true historic meaning.

We are really concerned about the property being developed like what is happening all over the neighborhood.

IF this is happening all over the neighborhood and you try to deed/title such a restriction then you are probably going to have a hard time selling it or it will be devalued.

Do you have a real estate agent? Do you have an Atty? Either should be able to tell you if this kind of deed/title restriction is possible in your area.

Good luck.

 

[isis297]

In addition to being in the family for about 65 years, it is the only house like it in that neighborhood. That was one reason we were surprised it didn't meet the requirements for the Historic Trust easement. In most cases when we talk about the house to people who are familiar with the area, all we have to do is mention the house and the fence and they know what house we are talking about.

The lady with the landmark registry for the county felt that the house would fit their registry because our family is known for taking in members of the community who were homeless and/or family-less going back to my great grandmother. My great grandfather also had the property as a chicken farm at one point and was the main supplier for the neighborhood. She felt both of these things were important to the county's history.

There is a person they are going to put me in touch with who is with a group that is "gung ho" about preserving parts of the area but being that the property straddles the county and the city, moreso the city, I don't know how much help she is going to able to be since she is with the side we straddle the least on.

I am more curious about learning about covenants at this point as a back up to if the landmark registry doesn't work out for some reason. I understand that it is going to make it "harder" to sell because if we wanted to sell it to an investor, I'm sure we could find one tomorrow who would buy it. We are hoping that the people who purchase the property from here on out are going to be people who are buying it for the love of the house and property instead.

I know a lot of people aren't going to understand why this is such a big deal to us, but in my mom's and my hearts, it is. Thank you for understanding.

 

[lcannister]

Not to be ugly but many addresses are recognized because of a part that stands out about the HOUSE.

Just my opinion but sell the house and move on to make another house a HOME. You are trying to hold on to something by trying to dictate what the new owners can and cannot do with the house once they buy it.

You are right some of us will not understand.

it is the only house like it in that neighborhood. That was one reason we were surprised it didn't meet the requirements for the Historic Trust easement

There are many unique homes in many communities nothing unusual.

I do wish you luck but perhaps it is time to move away from the past and start on a new future.

It ticked me off royally when I sold a propety once where I had planted thousands of iris tubers, expensive iris tubers, and the person who bought the home immediately brought in a landscaper and all those tubers were put out to the side of the road. Point? That we no longer have a right to dictate what someone else does with the property once it is purchased.

Someone mentioned we could have a covenant attached to the deed but I have NO idea what this means. How do you do something like that and can we really protect the house and the property's future that way regardless of how many times the house is sold after this time? (Is it something that carries over from buyer to buyer?)

Seek the advice of a local Real Estate Atty and they can perhaps assist you in this endeavor, again good luck selling the property to anyone who does not like to be dictated to about what they can and can not do with something they buy. Will you also dictate the house can never be painted without your input, the fence must stay white, shutters can not be put up or taken down.....

 

[isis297]

I am curious to see if anyone else has any advice about covenants.

I don't think that what we are asking for is unreasonable. We are not going to the point of paint and shutters...we are simply talking about keeping the house and property undeveloped which if another family like ours came along to buy it, I don't think they'd care about such a covenant because they would be buying the house and property for what it is now anyhow.

I understand what you are saying some people do with covenants because I saw there was another post here on the forum where someone bought property that had one restricting them from putting up shiny buildings. Like I said, we are not looking to put such restrictions on the property.

 

[BoredAtty]

One thing to consider is who will enforce the covenant? If you do not own land that will be benefited by the covenant, then you will have no legal right to enforce the covenant.

 

[isis297]

I don't know anything about covenants which is why I am here trying to learn about how they work. Someone suggested it as an option so I wanted to find out if it was something that would be feasible.

I guess I just figured if it was attached to the deed, it would just be enforced by the owners knowing it was part of the contract/deed. I believe I read on the forums here that a home owner could try to go against the covenant but if the neighbors knew that was happening, they could file an injunction to stop it. The 4 neighbors surrounding the house have been there for decades. They were all fairly close to my great grandma and grandma and I know none of them want to see the property get demolished/torn apart either.

 

[lcannister]

See a local Atty who can tell you exactly what is and is not possible. I think you are using the incorrect word "covenant" for what you want to do. But I am not an Atty.

You are obsessed with dictating what happens to the HOUSE after you sell it and move to a new HOME.

Is there a mortgage on the property, if not then perhaps one of you could apply for a reverse mortgage on the property if a financial need is the reason for the sell. ONLY after throughly researching reverse mortgages.

Good luck and see the Atty, perhaps one of those historic systems will come through.

 

[tranquility]

You (your attorney) could certainly write up the deed to have title of the property revert back to you if the person violates the terms of the deed. No one else in the neighborhood would have privity to enforce this contract. There are also governmental approved ways to enforce historical restrictions, but you can't force the agencies to accept properties they don't want to. If you choose the first, get an attorney to help you. If you choose the second, try harder to convince the curator or historical society board to accept the house to its registry. The government or controllers of the registry will have the right to sue if the rules are violated. You or neighbors can certainly advise those entities about the violation, but would have no power of enforcement.

As lcannister wrote, the value of the property in either instance is substantially reduced. Substantially. Even for beautiful archetectual homes where the historical value is in the beauty of the construction, buyers have second and third thoughts about putting up the cash because of the limits on the use. For something historical because it was a chicken farm, I find it unlikely anyone will want to have any meaningful restrictions on their land use because of that fact. Having a house with a historical registry attached is expensive. You've got to go to specialists to repair/replace things so the nature of the house is restored. If a person does not fall in love with a house for the very factors it is being placed in the registry for, he'd be a bit of a doofus to purchase it. Even then, he is likely to ask for severe concessions on price to reflect the increased cost of upkeep on the property and for the decrease in the potential for sale.

All the discussion works for covenants or other limitations on property rights too.

 

[BoredAtty]

I don't know anything about covenants which is why I am here trying to learn about how they work. Someone suggested it as an option so I wanted to find out if it was something that would be feasible.

I guess I just figured if it was attached to the deed, it would just be enforced by the owners knowing it was part of the contract/deed. I believe I read on the forums here that a home owner could try to go against the covenant but if the neighbors knew that was happening, they could file an injunction to stop it. The 4 neighbors surrounding the house have been there for decades. They were all fairly close to my great grandma and grandma and I know none of them want to see the property get demolished/torn apart either.

While I am a Maryland attorney, I am not a real property expert. Therefore, please do not take this as gospel (if you were my client, I'd spend quite a bit of time researching the issue, which I have not done). That said...

An equitable servitude/covenant may do what you want for at least some period of time. You can form an agreement with your neighbors whereby you agree not to subdivide the land and demolish the house. Consideration from the neighbors will probably be required. You can stipulate in the deed that the covenant runs with the land and is enforceable against assignees. If a future owner attempts to violate the covenant, the neighbors (not you, as mentioned earlier) may sue for an injunction.

However, keep in mind that in years to come, your ex-neighbors may not care to force a future owner to abide by the covenant. Also, the covenant will not be enforceable forever. As neighborhood conditions change, the courts will be less likely to enforce the covenant if the owner attempts to follow the neighborhood trend. Changes in zoning may also have that effect.

Last, as others have mentioned, the value of the property will be greatly reduced.

You should speak to a lawyer who specializes in real property to clarify your options.

 

[isis297]

Thank you Tranquility and BoredAtty for your posts. I knew that an easement could reduce the value of a property but the Historic Trust dept. had said that it was NOT substantial. The Landmark Trust (local county/city easement instead) said that by going through them, the new owners would be eligible for repairs to be done through their group at less cost plus there would be tax breaks. Those things sounded very appealing to us as far as something that would benefit the future owners.

I have a message in to a local attorney and have a consultant who is getting back with me as well so I will double check what they say as far as the effects they would have. We don't care about the money as much as we care about the house but understand this is stlil quite the situation.

My mom is getting to the point where she is just ready to let it go as the estate has been such a problem. I know she feels like it is a huge reason why she was recently hospitalized (the stress). I can only do so much from where I live and am due to have a baby in 4 weeks and I really can't do the stress anymore either. I just wish things didn't have to go the way they were. The house is very special to us. I know we will always have our memories...it's just the thought of the house still standing.

I know most people don't understand. "It's just a house." To my mom, it's the place where she was her happiest, memories of her grandparents, the chicken farm, everything. To me, it's some of the same and some new. There is a staircase that is just beautiful where I stood for pictures for every dance I ever went to, then every prom, and my wedding.

I wish there was some way to have it turned into a home for either challenged people or single moms or just people who are older and can't really live alone anymore. Those are the people my family has opened our doors to ever since the house was purchased. It would really be nice to see it continue to be used for such a purpose but I don't know how that could be achieved.

 

[Alaska landlord]

Sell it and forget it. Nobody wants an ex-owner telling them what they can and cannot do with their property. If it's all that important to you to keep it intact then sell your home and move into the old relic.

You can always take pictures and maybe the town needs a new garage or blockbuster video store.

 

[isis297]

Your opinion has no weight with me Alaska Landlord. The two people I thanked were informative and to the point which was perfect. People like you should not be posting "advice".

 

[lcannister]

Your opinion has no weight with me Alaska Landlord. The two people I thanked were informative and to the point which was perfect. People like you should not be posting "advice".

The response of someone who does NOT want to hear any opinion other than the one they want to hear.

Your answers are not to be found here all you will get are opinions, some of us think you are obsessed with a HOUSE and dictation over that house you can no longer afford to keep and yet do not want to sell it.

Your answers will be found within your community and what they decide is historic etc. A 62 year old house is NEW within my 'hood and if I drive a couple of miles every house there will have had chickens raised and helped someone along the way in their history. Don't make it historic or anything else except a HOUSE that has been in the family many years and become a HOME to those living within. So you have to find out how lax or strict the rules are in you area and pursue it.