Real property rights are not absolute. Eminent domain laws limit the ownership rights of those who buy real property by giving the government the power to compel property sales. If there is a significant project for public benefit, people may have no choice but to sell their real estate holdings.
Those who refuse offers may find themselves facing condemnation. Condemnation is the legal process through which the state forces the sale of real estate as part of an eminent domain project. While people cannot necessarily prevent the sale of their homes in an eminent domain scenario, they do typically have certain protective rights, including the right to receive just compensation.
Just compensation for the forced sale of real property usually means receiving an appropriate amount of money in return for the transfer of ownership. What options do property owners have when they assert that an offer made by the condemning authority does not constitute just compensation based on the value of their property?
People can dispute property valuation
It is possible to litigate over eminent domain condemnation attempts. Property owners can go to court to establish that the amount of compensation offered for the sale of their property is not appropriate given the current fair market value of their real estate.
Proving that an offer falls short of just compensation requires documentation. Factors including prestige finishes, interior modernization and even mineral rights can potentially affect what the real fair market value of a property should be.
If those facing eminent domain claims can prove that the amount offered is unreasonably low given the fair market value of the home, they may be able to secure a more appropriate amount of compensation. Homeowners and others who have invested in real property often struggle to understand the nuance of eminent domain laws and judicial precedent. They may also have a difficult time keeping their emotions in check when they face the forced sale of one of their most valuable assets.
Having proper assistance when raising questions about just compensation in an eminent domain scenario can be beneficial for property owners. Those with documentation supporting their assertion that an offer is unreasonably low may be able to secure more compensation for the sale of their property.