Encroachment Agreements: What They Are and Why You Need Them
When it comes to real estate, encroachment can occur when a property owner builds or uses a structure that extends over a neighboring property line. This can create legal disputes and lead to costly litigation. However, encroachment agreements can help prevent these issues by legally addressing the encroachment and establishing a clear understanding between the affected parties.
What is an Encroachment Agreement?
An encroachment agreement is a legal document that outlines the terms of an agreement between two or more property owners regarding encroachment. The agreement typically includes the specific encroaching structure or use, the affected property boundaries, and any terms or compensation for the encroachment.
Why is an Encroachment Agreement Necessary?
Encroachment can result in legal disputes, property damage, and financial losses. Without addressing the issue, property owners may face costly legal battles, property damage, and decreased property values. An encroachment agreement can help prevent these issues by establishing a clear agreement between the affected parties.
Additionally, an encroachment agreement can provide clarity for future property owners. When a property is sold, the new owner may not be aware of any encroachments on their property. An encroachment agreement can provide a clear understanding of the encroachment and prevent any potential legal disputes.
How to Create an Encroachment Agreement
An encroachment agreement should be drafted by a real estate attorney to ensure that all legal requirements are met. The attorney will work with both parties to negotiate the terms of the agreement and ensure that it is fair and legally binding.
The agreement should include a description of the encroaching structure or use, as well as the affected property boundaries. It should also outline any compensation or terms agreed upon by the affected parties. Both parties should sign the agreement, and it should be recorded with the county clerk`s office to ensure that it is legally enforceable.
Conclusion
Encroachment can lead to legal disputes and financial losses. However, an encroachment agreement can prevent these issues by establishing a clear understanding between affected parties. An experienced real estate attorney can help create an agreement that is fair and legally binding. Don`t let encroachment cause costly problems, consider an encroachment agreement today.