A business memorandum on any topic pertaining to Real estate Term Paper

A business memorandum on any topic pertaining to Real estate - Term Paper Example Nevertheless, some jurisdictions necessitate that the government body or department offer to buy the property before choosing to use the eminent domain. According to the 5th Amendment of the United States Constitution, ‘there shall be no taking of private property fro public use, without proper compensation.’ Nonetheless, eminent domain has been in place since the United States of America has been in existence or was established. The 5th Amendment of the United States Constitution only brought about the concept of just compensation. However, without this Amendment, we find that the government could seize whatever property they wished with no compensation. The city pays homeowners in a section of the city with low-housing costs. The city has the plans of putting up or establishing a new housing development hopping to attract the higher-income families. However, the former owners of the homes are given compensations for their home; in some instances, given more that the estimated value of their homes. This actually sound good to some extent. However, the problem that arises is that the previous owners of the homes are not in a position of affording housing in the newly established development; this forces them to move far from their original neighborhood. This greatly changes a neighborhood’s composition, and there is no way of getting to know whether it will be favorable of not. One could loose historically significant structures only because they appear to be found in the way of a new project. Individuals could get considerably less funds than for that the total worth of their property is. Eminent domain, back in the old days, was used in taking a piece of land for civic or public use like bridge, dam, road or new lake. The individual was always given ‘fair market value’ for the property seized. For instance, even though an individual