Land Details: Descriptions and Legality

Chapter 1: Land Details: Descriptions and Legality

Introduction:

This chapter provides a comprehensive exploration of land details, focusing on descriptions and legal considerations crucial for real estate appraisal and property understanding. We will delve into various land description systems, their scientific basis, practical applications, and the legal ramifications associated with them.

1.0 Understanding Land and Site

• 1.1 Land Defined:
  • Land, in its fundamental sense, refers to the earth’s surface extending downwards to the center of the earth and upwards to infinity, including all things permanently attached by nature (e.g., trees, minerals) or by humans (e.g., buildings).
  • The utility of land provides value.
    • Example: Land in a floodplain with development restrictions has limited utility.
    • Example: Land at a corner of two busy streets can have great utility.
• 1.2 Site Defined:
  • A site is raw land that has been improved with utilities, adjacent streets, drainage plans, and other amenities.
  • The distinction between raw land and a site is substantial, influencing its development potential and cost.

2.0 Legal Descriptions of Land: The Foundation of Property Identification

• 2.1 The Importance of Legal Descriptions:

  • A legal description uniquely differentiates one parcel of land from another. It is the cornerstone for property appraisal, conveyancing, and legal disputes. Addresses are often insufficient and unreliable.
  • USPAP (Uniform Standards of Professional Appraisal Practice) requires identification of the subject property through a legal description.
  • The legal description is constant, regardless of improvements made to the land.

• 2.2 Evolution of Land Description Techniques:

  • Land description systems have evolved over time, initially relying on natural landmarks and gradually incorporating advanced surveying technologies.
  • Modern tools: Lasers, GPS receivers, drones.
  • Potential for discrepancies between older and newer descriptions exists due to technological advancements and shifting landmarks.
    • Discrepancies may require court action.

3.0 Metes and Bounds System: A Historical Approach

• 3.1 Principles of Metes and Bounds:

  • The metes and bounds system, prevalent in the original American colonies and integrated elsewhere, describes land by specifying its perimeter boundaries through a series of metes (distances) and bounds (directions) from one monument to another.
  • Monuments: Natural features (creeks, trees, rocks) or man-made objects (fences, roads).

• 3.2 Key Elements:

  • Point of Beginning (POB): The precise starting point of the description. It must be well-defined (either a known monument or a point in an adjoining survey).
  • Calls: Boundary lines described by their course (direction) and distance (length).
    • Direction can be expressed using angles or bearings.
  • A metes and bounds description must close, meaning the description must return to the POB with accuracy. Failure to close renders the description unusable.

• 3.3 Challenges and Limitations:

  • Reliance on landmarks that may be impermanent (e.g., shifting creeks, dying trees).
  • Potential for ambiguity and interpretation issues.
  • Accuracy dependent on the surveyor’s skill and equipment.

• 3.4 Example:

  “Beginning at a large oak tree on the north bank of Willow Creek; thence North 45 degrees East a distance of 200 feet to an iron pin; thence South 45 degrees East a distance of 150 feet to a concrete monument; thence South 45 degrees West a distance of 200 feet to the north bank of Willow Creek; thence North 45 degrees West along the north bank of Willow Creek a distance of 150 feet to the point of beginning.”

4.0 Rectangular (Government) Survey System: A Systematic Approach

• 4.1 Origins and Purpose:

  • The Rectangular Survey System, adopted by Congress in 1785, was designed to provide a systematic and standardized method for describing large tracts of land, particularly in newly acquired territories like the Louisiana Purchase.
  • Based on an idea by British soldier Colonel Henry Bouquet.

• 4.2 Fundamental Components:

  • Principal Meridians: North-south lines running through a defined area or state, identified by degrees, minutes, and seconds west of the Greenwich meridian.
  • Base Lines: East-west lines running perpendicular to the principal meridians, identified by degrees north of the equator.
  • The intersection of principal meridians and base lines creates a grid system.

• 4.3 Township and Range Lines:

  • Township Lines: East-west lines parallel to base lines, spaced six miles apart.
  • Range Lines: North-south lines parallel to principal meridians, spaced six miles apart.
  • The intersection of township and range lines forms a grid pattern of approximately six-mile square townships.

• 4.4 Correction Lines and Guide Meridians:

  • Because the earth is curved, range lines converge, and the length of a township’s northern boundary is shorter than its southern boundary.
  • Correction Lines: Located every 24 miles north and south of a base line to compensate for convergence. They act as new base lines.
  • Guide Meridians: Used to address longitudinal convergence, but not mentioned in provided context.

• 4.5 Sections and Subdivisions:

  • Each township is divided into 36 sections, each one mile square and containing approximately 640 acres❓❓.
  • Sections are numbered in a serpentine pattern, starting in the northeast corner.
  • Sections are further subdivided into quarter sections, quarter-quarter sections, etc.

• 4.6 Reading a Government Survey Description:

  • Government survey descriptions are interpreted backwards, starting from the smallest subdivision and working towards the larger units.
  • Example: The description “NW 1/4 of the SE 1/4 of Section 10, Township 2 North, Range 3 East” is read as: the Northwest quarter of the Southeast quarter of Section 10, in Township 2 North, Range 3 East.

• 4.7 Mathematical Calculations:

  • Area of a section: 1 mile x 1 mile = 1 square mile = 640 acres
  • Area of a quarter section: 640 acres / 4 = 160 acres
  • Area of a quarter-quarter section: 160 acres / 4 = 40 acres

• 4.8 Example:

  “The NW 1/4 of the SW 1/4 of Section 23, Township 5 North, Range 2 West of the Principal Meridian.”

  • This describes a 40-acre parcel.

5.0 Lot and Block System: A Subdivision Approach

• 5.1 Application:

  • Commonly used in urban settings where developers create subdivisions with small lots.

• 5.2 Process:

  • The developer prepares a plat (map) showing the individual lots, blocks, streets, and other features of the subdivision.
  • The plat contains a detailed legal description of the overall subdivision.
  • The plat is recorded with the recorder’s office.

• 5.3 Benefits:

  • Simplified legal descriptions: Instead of lengthy metes and bounds descriptions, a deed can simply refer to “Lot X, Block Y, in Subdivision Z.”

6.0 Title and Record Data: Verifying Ownership and Restrictions

• 6.1 The Importance of Due Diligence:

  • Appraisers must thoroughly research title and record data to verify ownership, encumbrances, and restrictions affecting the subject property.
  • Essential to ensure the appraisal is performed on the correct property and accounts for all relevant factors.

• 6.2 Sources of Information:

  • County records (auditor, assessor)
  • Title insurance policies
  • Deed abstracts

• 6.3 Key Data Points:

  • History of ownership and recent sales
  • Existing leases
  • Easements and rights of way
  • Deed and plat restrictions
  • Subsurface rights and mineral extraction licenses

7.0 Zoning and Land Use Information: Understanding Regulatory Constraints

• 7.1 Obtaining Zoning Information:

  • Local planning or zoning departments are the primary source of zoning and land use information.
  • Appraisers must independently verify zoning regulations and not solely rely on information provided by clients or other parties.

• 7.2 Types of Compliance

  • Legal land use: Research the allowable uses.

  • Development standards: Address issues like lot size, side yards, setback areas, etc.

• 7.3 Key Zoning Considerations:

  • Minimum lot size
  • Utility availability
  • Minimum building size
  • Minimum road frontage
  • Minimum setback requirements

• 7.4 Impact on Value:

  • Zoning regulations significantly impact the permissible uses and development potential of a property, which in turn affects its market value.

8.0 Assemblage and plottage❓❓
* 8.1 Assemblage: The process of combining two or more adjoining properties into one larger parcel of land.
* 8.2 Plottage: The increase in value that results from the assemblage of smaller parcels into one larger parcel, where the value of the new, larger parcel is greater than the sum of the values of the individual smaller parcels. Plottage value can be expressed by the formula:

*   Plottage Value = (Value of Assembled Parcel) – (Sum of Values of Individual Parcels)

• 8.3 Considerations: Assemblage and plottage are often associated with potential for more intensive use of the land or improved development opportunities, but must be in accordance with existing zoning and other regulations.

9.0 Environmental Considerations and Stigma

• 9.1 Environmental Factors: Environmental concerns significantly impact land value and legality.
  • Floodplains: Land subject to flooding, often with restricted development.
  • Wetlands: Areas with saturated soil, protected by environmental regulations.
  • Contamination: Presence of hazardous substances can lead to significant remediation costs and value decline.
• 9.2 Stigma: A negative perception associated with a property due to past events or conditions, even if not physically impacting the property (e.g., former site of a crime, nearby landfill).
• 9.3 Legal Ramifications:
  • Failure to disclose environmental hazards or known stigma can result in legal liability.
  • Environmental regulations impose strict standards for land use and development.

10.0 Conclusion:

Understanding land details, including legal descriptions and legal considerations, is fundamental for informed real estate decisions. This chapter provided an overview of the methods employed to describe land accurately and legally, emphasizing the importance of title verification, zoning compliance, and awareness of environmental factors. The legal and physical characteristics of land are intertwined, and both elements impact the value and usability of the real estate.