A covenant is a binding agreement or promise written into a deed, subdivision declaration, or other recorded legal document that requires or restricts certain actions regarding the property. Unlike a verbal agreement that may be difficult to enforce, a recorded covenant runs with the land — meaning it binds not just the original parties but all future owners of the property, regardless of whether they knew about the covenant when they purchased. This makes covenants a powerful and permanent tool for controlling property use.
Restrictive covenants are the most common type in residential real estate. They limit how a property can be used or developed. Common examples include: minimum square footage requirements for new construction, restrictions on exterior colors or building materials, prohibitions on parking commercial vehicles or boats in driveways, requirements for maintaining landscaping, restrictions on operating a business from the home, limitations on the number or type of pets, and prohibitions on renting the property (or requirements for minimum lease terms).
Homeowners association covenants, conditions, and restrictions (CC&Rs) are the most comprehensive form of restrictive covenants. When you buy in a planned community or condominium, you automatically agree to abide by the CC&Rs — which can run dozens of pages and cover everything from exterior modifications to holiday decorations to the hours you can use the pool. Violating CC&Rs can result in fines, mandatory compliance, or even legal action by the association. Buyers should review CC&Rs thoroughly during due diligence.
Affirmative covenants require the property owner to take specific actions — such as maintaining insurance, paying assessments, or keeping common walls in good repair. Covenants of title — found in warranty deeds — are promises the grantor makes about the quality of ownership being conveyed (covenant of seisin, covenant against encumbrances, covenant of quiet enjoyment, etc.).
During the title search, all recorded covenants are identified and listed as exceptions on the title commitment. Buyers should review these exceptions carefully to understand how covenants may affect their intended use of the property. If you plan to build an addition, operate a home business, or rent the property, check the covenants first. At Beycome Title, we explain all covenant exceptions as part of our closing process. Get your free quote today.