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Restrictive covenants in Maryland real estate

On Behalf of | Jul 11, 2024 | real estate

When buying a home in Maryland, you might encounter restrictive covenants. These are rules set by developers or homeowners’ associations (HOAs) to maintain the neighborhood’s appearance and value.

What are restrictive covenants?

Restrictive covenants are conditions included in property deeds. They outline what you can and cannot do with your property. These rules might cover aspects like building materials, fencing, or even the color of your house. It’s important to review these covenants before purchasing to know what restrictions you’ll need to follow.

Why they matter

Restrictive covenants help maintain property values and ensure uniformity within a neighborhood. They can prevent activities or changes that might negatively affect the community’s look and feel. For example, a covenant might restrict commercial activities, ensuring the area remains residential and peaceful.

How to find them

Restrictive covenants are usually recorded with the county land records. When buying commercial or residential real estate, your title search will reveal any existing covenants. It’s crucial to read these documents carefully to understand all the restrictions on your property.

Potential challenges

Living with restrictive covenants can sometimes be challenging. You might feel limited in how you can personalize your home. If a covenant seems unreasonable, you might be able to get a waiver or amendment through the HOA. However, these processes can be time-consuming and may not always be successful.

Maintaining compliance

Once you buy a home with restrictive covenants, it’s your responsibility to comply with them. Regularly review your HOA’s rules and attend meetings to stay informed about any changes. Non-compliance can lead to fines or other penalties, so it’s important to stay vigilant.

Finding harmony

Restrictive covenants can be beneficial, but they require understanding and cooperation. By familiarizing yourself with these rules and actively participating in your community, you can enjoy the benefits of a well-maintained neighborhood while minimizing potential conflicts.

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