EAGLESTAR.NET LAND AND PROPERTY REVIEW
http://www.eaglestar.net
Issue #24
July 7, 2008

IN THIS ISSUE:
Properties of the Week:
- Ridgetop Lot, VA Gated Community
- NM 1 Acre Lot, Easy Terms
Real Estate Roundup: Lease Issues
Sponsor's Corner:
- Whispering Pines Log Home Community
Buyer's List Update
Auction News
Landterms.com Term of the Week: Blockbusting
Letters to the Editor


"Well! some people talk of morality, and some of religion, but give me a little
snug property." - from the novel The Absentee (1812)
- Maria Edgeworth (English-Irish novelist, b. 1767 - d. 1849)


PROPERTIES OF THE WEEK
Two prime building sites, one on a gorgeous Virginia ridge top and the other in
the spectacular New Mexico highlands.

7+/- Acre Ridgetop Home Site, Gated Community, Near Point Lookout Mt., Virginia
Mountain ridge top home site with a 40 mile view - see all the way to Boon and
Winston-Salem, North Carolina on a clear day. Abundant nature and wildlife.
Located in Pine Mountain Estates, a private gated development with 14 elite
building sites, some with new log homes under construction. Power and phones
are in and ready to build. Only a few parcels left. Near Independence, VA, a
small rural community. Nearby towns and cities include Galax, VA (20 minutes),
Wytheville, VA (45 minutes), Roanoke, VA (90 minutes), and Charlotte, NC (90
minutes). View photos and additional information at
http://www.eaglestar.net/ccr.html.

1+/- Acre Home Site, Easy Terms, Estancia Ranchettes Subdivision, Moriarty, New
Mexico
Affordable home site, one of the last lots in the beautiful northern part of
the subdivision. Great views of the treed hills to the north and the Sandia
Mountains to the northeast. Power and a few homes in the distance, 1/2 to 3/4
of a mile away. Dirt road to north and graded road to west of lot - little
improvement required for easy access. Located just east of the booming town of
Edgewood, NM and close to Albuquerque. Great investment in a growing area.
Great terms and price. Details and photos available at
http://www.eaglestar.net/rea.html.


REAL ESTATE ROUNDUP
Common Issues and Considerations in Leasing, Part 1
This is the penultimate article in the Leases and Leasehold Estates section of
our ongoing series on Title, Estates, Tenancies, and Deeds. We have attempted
to highlight some of the more common issues that should be considered by both
landlords and tenants when leasing and negotiating lease agreements. There are
certainly important considerations that have been left out - if you have any
comments, suggestions, advice, or leasing stories (horror or otherwise) you'd
like to share, we'd love to hear from you.

Past issues of the Land and Property Review are available at
http://www.eaglestar.net/newsletter.
Articles and FAQ's on leasing and leasehold estates can be found in Issues 20,
21, and 23.
An FAQ (Frequently Asked Questions) on estates in real property appeared in
Issue 18.
Three FAQ's on title to real estate can be found in Issues 14, 15, and 16.

Possession, Use, and Access
Both the possession and use of real property are bound by state statutes and
local regulations. In order to enjoy continued possession of leased real
property, a tenant must have the landlord's permission. If the tenant does not
have such permission (a condition known as tenancy at sufferance), he or she
has violated state law and the landlord may take action to evict the tenant.
The lease agreement, a legal contract between a landlord (lessor) and a tenant
(lessee), should be written so that a tenant at sufferance is clearly in breach
of contract. Preprinted contracts are available for relatively simple
residential leases, but both landlords and tenants should consider hiring
attorneys to draft and review complex residential, commercial, or industrial
leases. The asset protection alone is worth the cost. Prospective tenants
should be aware that once they have taken possession of leased property, this
possession implies acceptance of the terms of the lease agreement - whether or
not the tenant has yet signed such an agreement. Possession does not always
mean that the premises must be occupied, either - sometimes merely accepting
the keys to the front door is enough to indicate acceptance of the entire lease
agreement.

Just as a tenant's possession of leased real property must be lawful, so must
the landlord allow the tenant to use, possess, and occupy the premises without
interference - a concept known in real estate law as a "covenant of quiet
enjoyment". In almost every case, this covenant (a promise) is implied by the
lease agreement, whether it is specifically referred to in the lease agreement
or not. The landlord retains the right to enter the premises for the purposes
of maintenance and repairs. Some states allow the landlord to enter for the
additional purpose of inspecting the premises. Except for cases of emergency,
or where health or safety is at risk, the landlord must give notice before
entering the leased property. In most states, the time frame of this notice
varies between 24 and 48 hours. In addition, the landlord must enter only at
reasonable times, except in cases of emergency. Some legal jurisdictions have
interpreted "reasonable times of access" as business hours only, usually
between 8am and 5pm.

The use to which the tenant puts the property must be lawful, as well. Land
use is regulated through local zoning ordinances, which can restrict not only
the allowable activities, but things like building heights and styles,
setbacks, densities of residences and other buildings, and so on. If a tenant
wishes to put a leased property to a specific use other than simply residing
there, he or she would be wise to investigate the zoning ordinances for that
property to ensure the use is allowed. Even if the landlord agrees to the use
in the lease agreement, it is still illegal. Contracts for leases, especially
those for commercial properties, often contain use restrictions limiting the
tenant to a very specific type of business, such as a store or office.

Rent Payments
The lease agreement should clearly state the due date of the rent payments,
which are almost always due in advance. The date after which rent payments are
considered delinquent, as well as any late charges, should also be specified.
The landlord and tenant must negotiate and agree upon the manner in which rent
payments will be calculated (see Issue 21: Types of Leases for more
information).

Security Deposit
The security deposit is given by the tenant and held by the landlord throughout
the term of the lease. It is to be used for the repair of damage or
destruction to the premises cause by the tenant. In some states, the security
deposit or a portion of it may also be used for delinquent rent, or if the
tenant has breached the lease contract and is in default. Both landlord and
tenant should be very familiar with their state's law regulating security
deposits. Mistakes are frequently made in the collection, handling, and
application of security deposits. Many states prohibit the use of security
deposit funds for delinquent rent. Some states require that the landlord pay
interest to the tenant during the period of time the funds are held. Some
specify that the security deposit must be collected and handled in a certain
way. Knowledge of the local security deposit regulations, as well as other
rules and laws that govern landlord-tenant relationships, is essential for
anyone entering into a lease situation.

Damage and Destruction of Property
All states address damage and destruction of the premises in their
landlord-tenant laws. If the destruction was caused by the tenant, the
landlord has legal recourse in addition to keeping the tenant's security
deposit, including suing and/or evicting the tenant. If the lease is an
agricultural lease, a ground lease, or a shell lease, the tenant must pay all
rent for the entire term of the lease, whether or not the premises can be
occupied. The tenant is not usually required to pay all rent for destruction
of the property under other types of leases. Note that normal wear and tear is
not considered damage. If the destruction was caused by the landlord, either
through direct action or negligence, the tenant in many cases can recover
damages because the landlord was unable to deliver the leased property
according to the terms of the lease agreement. Both landlord and tenant should
consider purchasing insurance to cover costs resulting from damage to or
destruction of the premises by the other.

Recording of Lease
Possession of leased premises imparts constructive notice of the existence of
the lease. Therefore, recording a lease is neither required nor necessary,
except for long-term leases such as ground leases, net leases, or shell leases,
which should always be recorded. Often, a document known as a memorandum of
lease is recorded rather than the entire lease agreement itself. This
memorandum names the parties to the lease and describes the property, but does
not contain the terms of the lease agreement. Even though recording of a lease
is not necessary in most cases, it is allowed in nearly every state.

Discrimination
Landlords should be aware that leasing activities could be regulated by the
Federal Fair Housing Act, which prohibits discrimination in selling or leasing
of property against certain protected classes. If the property is covered by
the Federal Fair Housing Act, landlords may not discriminate on the basis of
skin color, national origin, religion, race, gender, familial status, or
disability status. All properties are covered by the act, unless specifically
exempted. The only properties that are exempt from the Federal Fair housing
Act are:
- Single-family housing sold or rented without the services of a real estate
broker and without the use of discriminatory advertising, owned by a person who
owns three or less such dwellings at any one time and sells one or less every
two years
- Owner-occupied dwellings with four or less living units
- A private club or organizations that limits occupancy of owned dwellings to
its members

Next week: Part 2 of Common Issues and Considerations in Leasing, including
maintenance, improvements, subletting, assignment, and termination of the
lease.


SPONSOR'S CORNER
The Eaglestar.net Land and Property Review would like to thank this week's
sponsor:

Whispering Pines Private Log Home Community
5+/- acres, custom log homes available or build your own. Located in 180-acre
private log home community near Macksburg in Noble County, Ohio. View photos
and additional information at http://www.eaglestar.net/csn.html.


BUYER'S LIST UPDATE
http://www.eaglestar.net/Land_Buyers_List/index.html

Place unlimited free buyer's ads on Eaglestar.net. Go to
http://www.eaglestar.net/pages/buyers.html to begin.

Wanted: 40 acres pristine Oregon land near Plush, OR. Please refer to buyer
#20809.

Northeast Iowa: Outskirts of Cedar Falls/Waterloo/Waverly/Hudson would be best,
but willing to look anywhere. Looking for 5+ acres with farmhouse and
outbuilding, trees a must. Please refer to buyer #20764.

Wanted: Farm in southwestern Wisconsin. Prefer 100+ acres with or without
buildings. Perfect property would be 200 acres + with 50 to 80 acres in timber,
rest in pasture or tillable. Boundary of purchase would be Madison to the
north. Please refer to buyer #2001768.

Ohio - Licking, Muskingum or Coshocton Counties: Looking to lease 1000-3000
acres of hunting land and house or cabin for 6-10 people. Please refer to
buyer #20479.

Idaho: Seeking large acreage in northern Idaho panhandle with multiple building
sites, water rights, and views. Please refer to buyer #20519.

British Columbia: Any treed parcel, house or not, access road or access by
boat. Please refer to buyer #20581.

Wanted: Land with producing oil and/or gas royalties. Bank and industry
references available. Please refer to buyer #2003868.


AUCTION NEWS
http://www.eaglestar.net/Land_Auction_Calendar/index.html

Barkley Lake, KY Development Auction
Saturday, July 19, 2008
Lake Barkley, Eagles' Ridge, Kentucky: 13 tracts ranging in size from 0.79+/-
acres (lakefront) to 51.09+/- acres (lake access, subdividable). Near Cadiz,
KY in Trigg County, close to Tennessee state line.
Eagle’s Ridge – the name says it all. Hidden amongst the foothills near the KY
/ TN state line, this residential and recreational lake community offers some
of the most spectacular views anywhere around. Professionally constructed and
engineered, Eagle’s Ridge has already sold 77 lots in its pre-development
phase. The remaining 13 tracts were retained by the developer and are some of
Eagle Ridge's best.
For protection of your investment, Eagle’s Ridge properties are subject to the
Eagle’s Ridge Property Owners' Association Covenants & Restrictions. The
current annual fee for a lot owner is $250.00. See the spectacular photos and
view contact information at http://www.eaglestar.net/Detailed/20792.html.


LANDTERMS.COM TERM OF THE WEEK
http://landterms.com
Each issue we feature a real estate, forestry, natural sciences or other
land-related term from our partner site, Landterms.com.

This week's term: Blockbusting
The act of creating or causing panic among homeowners with the intent to make
them sell their homes by stating or implying that persons of a protected class
moving into the neighborhood will have negative results such as lowered home
values or increased crime. Blockbusters attempt to profit from this tactic by
purchasing the homes of panicked people at less than market value, then
reselling those homes at a greatly increased price. Blockbusting is illegal
according to the Federal Fair Housing Act (1968, 1974, 1988), which lists as
protected classes race, skin color, national origin, religion, handicap status,
familial status, and gender.
Same as "Panic selling".
View related terms and definitions at
http://landterms.com/Real_Estate/Blockbusting_1658.html.

Browse definitions for other real estate terms at
http://landterms.com/Real_Estate/index.html.


LETTERS TO THE EDITOR
Dear Land and Property Review,
I have been receiving your newsletter for several months now, and I really like
it. The articles have helpful information, which you present in a straight
forward way, without trying to tell me what to think about a particular
subject. As someone in the market to purchase real estate, I enjoy the
properties you feature and the articles explaining real estate terms. Keep it
up!
Dan
Milwaukee, WI

Dear Dan,
Thanks for the kind words. We really enjoy hearing from our subscribers.
The Editors
Eaglestar.net Land and Property Review


SUGGESTIONS
We welcome reader suggestions, comments, and questions.
Email: newsletter@eaglestar.net

ARCHIVES
See archived issues of the Eaglestar.net Land and Property Review at
http://eaglestar.net/newsletter.

CONTACT
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