When it comes to real estate laws and property laws, it is important to be informed. Even if certain conditions do not apply to you, being aware of them and understanding them can be beneficial. One such condition you should be aware of is the condemnation clause. In this video, you will learn everything you need to know about the condemnation clause including what it is and how it could affect you.
When a local authority such as a town or city decides to condemn property, it means they have decided to take over a private property in order to use it for public purposes. They have the right to do this under the right and power of eminent domain.
They will buy the property with an amount deemed fair from an appraiser. If the property has recently been sold on a loan, then there could be a disagreement as to who gets the money, either the previous owner or the new owner. One of the ways to settle the dispute is to refer to the condemnation clause that would have been included in the note of sale. This clause is an agreement on what to do in exactly this case. A condemnation attorney can help.