When a property is held in allodium, it means that the owner has full and complete rights to it. There is no landlord, no building permits, no taxes, and no applicable by-laws. The owner has absolute title over the property, and the property is owned free and clear from everyone- including banks and all levels of government- and ownership can only be lost when the person dies and leaves it to more than one heir.
Before you get too excited and start searching for tax-free, affordable investment property, know that allodial titles don’t exist in North America anymore: they were abolished after the Great Depression. However, two states- Nevada and Texas- recently dabbled in limited allodial title policies that were designed to protect owners from the tax increases that often result from unincorporated land becoming part of a municipality. Unfortunately, the Nevada allodial title provisions were abolished in 2005, and there are questions as to whether Texas ever went through with theirs as a result of Nevada’s fate.
One form of allodial land that actually does exist in the United States today belongs to Native Americans, and is the reason they aren’t required to pay taxes on their property (this includes businesses that operate on the land.) However, because the allodial title is not in one owner’s name, but rather held communally, in the end it is like having no property rights at all.
For any questions about real estate issues like allodial titles, please go to AllAcres.com. As a nationally trusted realty resource, AllAcres.com connects buyers and sellers with a wide variety of acreages: from ranches and affordable investment property to farms and commercial land for sale, it’s all in one convenient place. Whether you’re thinking, “I’d like to sell my land online” or “I need to find vacant lots for sale,” AllAcres.com can help. To learn more, or to begin searching commercial land for sale, contact us online.