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When Donna Hartl and her husband purchased a vacant lot in Brooksville, Florida, they thought they’d found the perfect location for their dream home. Nestled between Islewood Drive and Richbarn Road, the $17,500 property seemed ideal.
“We really wanted to have some privacy, not be stranded out in the country,” Donna Hartl told News Channel 8 reporters. “We just felt this was the perfect match.”
But as they prepared to build, the couple encountered an obstacle: a decades-old Duke Energy easement that prohibits construction on their new lot due to restrictions on how close homes can be built to a new transmission pole. Now, they’re stuck in limbo.
The Hartls thought they were ready to build their dream home after receiving approval from Hernando County and confirming the property was zoned for residential use. However, their plans were derailed when they discovered a utility easement from Duke Energy, preventing construction within 100 feet of a pole.
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Despite initial assurances, a 1955 document revealed the easement, leaving most of the land unusable for building. The remaining 600-square-foot area couldn’t accommodate a home due to septic and well requirements.
Although the county lowered the property’s value, the Hartls still owe taxes on a $17,500 unusable plot. Duke Energy does not purchase properties with easements, so the couple is stuck with the land.
The Hartls situation emphasizes the need to understand easements and secure title insurance before buying a property. Buyers should research public records, perform title searches, and obtain insurance. If an easement affects your property, work with local authorities to explore options like relocating or negotiating with the holder.
Real estate investing stands as one of the most proven paths to building lasting wealth. For the 12th year in a row, Americans have ranked real estate as the best long-term investment in 2024, according to a Gallup survey.
You don’t have to go through the same hassle the Hartls faced to invest in real estate. There are simpler ways to get on the property ladder.
You can tap into this market by investing in shares of vacation homes or rental properties through Arrived.
Backed by world-class investors including Jeff Bezos, Arrived allows you to invest in shares of vacation and rental properties, earning a passive income stream without the extra work that comes with being a landlord of your own rental property.
To get started, simply browse through their selection of vetted properties, each picked for their potential appreciation and income generation. Once you choose a property, you can start investing with as little as $100, potentially earning quarterly dividends.
Commercial real estate offers another avenue for property ownership. For years, direct access to the $22.5 trillion commercial real estate sector has been limited to a select group of elite investors — until now.
First National Realty Partners (FNRP) allows accredited investors to diversify their portfolio through grocery-anchored commercial properties, without taking on the responsibilities of being a landlord.
With a minimum investment of $50,000, investors can own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, which provide essential goods to their communities. Thanks to Triple Net (NNN) leases, accredited investors are able to invest in these properties without worrying about tenant costs cutting into their potential returns.
Simply answer a few questions — including how much you would like to invest — to start browsing their full list of available properties.
However, owning a share of a project or property this way holds some risk — for instance, you could receive no returns and these assets are often illiquid. Speak to a professional if this investment is right for you, especially if you are retired or close to retirement.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
