What is a restrictive covenant?

What is a restrictive covenant?

• A. A rental agreement clause
• B. A zoning ordinance
• C. A legally binding condition attached to land or property that limits what the owner can do with it
• D. A mortgage clause

Answer: (C)

A restrictive covenant is a legally binding condition attached to land or property that limits what the owner can do with it. It’s a private agreement that runs with the land, so it binds current and future owners until it’s released or expires. These covenants are created in the deed or a separate agreement and are enforced by the person or group that benefits from them, often a developer or neighboring property owners. They’re commonly used to maintain neighborhood character, restricting things like the type of buildings, allowed uses, or specific features such as height or setbacks. Zoning ordinances are government rules that apply broadly to a district and are enforced by the city, not private contracts tied to a single parcel. A mortgage clause comes from a loan agreement and governs the lender–borrower relationship and financing remedies, not land-use restrictions. So the correct idea is a private, property-bound restriction that travels with the land and limits what the owner may do.

A restrictive covenant is a legally binding condition attached to land or property that limits what the owner can do with it. It’s a private agreement that runs with the land, so it binds current and future owners until it’s released or expires. These covenants are created in the deed or a separate agreement and are enforced by the person or group that benefits from them, often a developer or neighboring property owners. They’re commonly used to maintain neighborhood character, restricting things like the type of buildings, allowed uses, or specific features such as height or setbacks.

Zoning ordinances are government rules that apply broadly to a district and are enforced by the city, not private contracts tied to a single parcel. A mortgage clause comes from a loan agreement and governs the lender–borrower relationship and financing remedies, not land-use restrictions. So the correct idea is a private, property-bound restriction that travels with the land and limits what the owner may do.