Definition
An easement is a legal right that allows someone other than the owner to use a portion of a property for a specific purpose—without owning it. Easements “run with the land†in many cases, meaning they can bind future owners and affect what can be built or how the property can be used.
How Easements Work
Easements are usually recorded in public records and often appear as exceptions on a title report. They can grant rights like access across a driveway, placement of utility lines, or drainage through a swale. The property benefiting from the easement is often called the dominant estate, and the property burdened by the easement is the servient estate.
Common Types of Easements
- Utility easement: allows utility providers to install and maintain power, water, sewer, gas, or telecom lines.
- Access/ingress-egress easement: allows someone to cross land to reach a road, parcel, or building.
- Drainage/stormwater easement: allows water flow, drainage infrastructure, or maintenance access.
- Shared driveway or parking easement: governs use of a shared drive aisle or parking area.
- Conservation easement: restricts development to preserve open space or environmental features.
- Temporary construction easement: short-term rights for staging, cranes, or construction access.
Appurtenant vs. In Gross
- Appurtenant easement: benefits another parcel of land (dominant estate) and typically transfers with that land.
- Easement in gross: benefits a person or entity (often utilities) rather than a specific parcel.
Why It Matters to Investors
- Development constraints: easement areas may restrict building footprints, additions, or grading.
- Value impact: access easements can add value; burdensome easements can reduce value.
- Operating friction: utility or access rights can allow third parties onto the property.
- Financing and exit risk: lenders and buyers will review easements during title and survey.
Due Diligence Checklist
- Title review: identify recorded easements and read the granting documents.
- Survey/ALTA: confirm location, dimensions, and whether improvements encroach into easement areas.
- Encroachments: verify fences, sheds, parking, or additions do not violate easements.
- Access rights: confirm legal access to public roads (especially for landlocked parcels).
- Maintenance obligations: determine who must maintain shared driveways, drainage, or private roads.
Common Pitfalls
- Assuming “it’s fineâ€: building over a utility easement can force costly relocation or removal.
- Unrecorded access: informal driveway use may not be legally enforceable without a recorded easement.
- Overlooking drainage: drainage easements can limit landscaping, fencing, or paving.
- Confusing easements with ownership: an easement grants use rights, not title or possession.