How to Buy your Dream Property (CFFL 419)

Recording Location: LAT (i.e.  33.488237)  (LONG i.e.  -111.921540)

Jack Butala:                       Jack Butala with Jill DeWit.

Jill DeWit:                           Hey!

Jack Butala:                       And welcome to our show today. In this episode, Jill and I talk about how to buy your dream property.

What?!

Jill DeWit:                           Mm-hmm (affirmative)

Jack Butala:                       Before we get into it, let's take a question posted by on of our members on the landacademy.com online community. It's free.

Jill DeWit:                           Okay. Steve wrote, "If I buy this property do I need to keep the deed restriction or does this go away with a new grantee?"

This is good.

Jack Butala:                       You mind if I read this? Because it's a little bit lengthy and I, I'm going to apologize in advance, but it's so important.

Jill DeWit:                           Okay.

Jack Butala:                       Steve says, "If I buy this property, do I need to keep the deed restriction or does it go away with a new grantee?" And then this is Steve saying, "I got to reply to the mailing."

"Hello Steve," (this is a mailing now, what he received.) "I believe our congregation would be interested in selling this property, however, I wanted you to be aware of a deed restriction that's been placed on it by the party that gifted the property to our church. That person is no longer living. If the property still interests you I'll take it up at the next church council meeting."

Here is a cut from the deed. Cut right out of the actual deed, the document itself. Dot, dot, dot, executes this deed on behalf of grantee for the sole purposes of acknowledging the church's understanding and agreement that in consideration of this gift of the above described property from the grantor to the grantee that the grantee will not permit cropping of trees or the sale or the use of lumber for the property herein, conveyed for any purpose. It is further agreed that the property shall not be developed in any way and that all these conditions shall run with the land.

Thoughts or comments?

He's asking us.

Jill DeWit:                           You want to answer separately? Or together?

Jack Butala:                       Who wants to go first?

Jill DeWit:                           I will.

Jack Butala:                       Go.

Jill DeWit:                           Can't change it.

Jack Butala:                       Can't change it. You can't change it. You cannot change a deed restriction.

Jill DeWit:                           Even if they pass.

Jack Butala:                       It's my understanding that you cannot change a deed restriction period.

Jill DeWit:                           How about on your own? Willy nilly?

Jack Butala:                       [inaudible 00:02:12]

Jill DeWit:                           Slash however. Can you go to court maybe over this?

Jack Butala:                       I don't think so.

Jill DeWit:                           You think they would withhold it there too? Okay, but yeah, I know you can't just go, "Yeah he died so I'm taking that out." No.

Jack Butala:                       The only person who can change a deed restriction is the person who wrote it, and if they pass away it's over. I have a lot of examples, but this is important because it's important to really look into the condition of these properties before you buy them. It's so infrequent that there's problems, but obviously this one, this could be a potential problem.

So what is a deed restriction? If you own a piece of property, and you heavily believe in some cause. I'm using an example, let's say, "Trees are living things too." That's your cause in life.

Jill DeWit:                           Perfect.

Jack Butala:                       Just like what this person maybe had that.