Texas Real Estate Sales Agent ExamProperty OwnershipEasy

A buyer is considering purchasing a home in a large master-planned community in Texas. The community has a Homeowners Association (HOA) and extensive rules regarding landscaping, exterior paint colors, and allowable structures. These rules are examples of:

  1. AZoning ordinances
  2. BEminent domain regulations
  3. CBuilding codes
  4. DRestrictive covenants
Show answer & explanation

Correct answer: D. Restrictive covenants

Restrictive covenants (also known as Covenants, Conditions, and Restrictions or CC&Rs) are private agreements that govern the use of land. They are typically established by developers to maintain property values and aesthetics within a subdivision or community.

Why the other options are wrong

  • A. Zoning ordinances are public land use controls enacted by governmental bodies.
  • B. Eminent domain is the government's right to take private property for public use, not a set of community rules.
  • C. Building codes are public safety regulations for construction.

Restrictive Covenants (CC&Rs)

Private agreements that limit the use or appearance of real property.

  • Created by developers or HOAs.
  • Recorded in the public records and 'run with the land'.
  • Enforceable by property owners or the HOA.

Memory trick: Private Property Pledges Protect Planned Places.

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