Canal front home owners in Michigan may face new challenges.

Kris, this is a very scary issue for the people who own those canal front homes. I hope everything gets worked out for their good. I couldn't imagine having to go through that mess.

Linda:  I'm afraid this type of thing could end up being more broader ranged than just our community of St. Clair Shores.  It is indeed a scary precedent.

"Changing a properties designation from canal front to protected wetlands can only hurt the values of the properties in question as they will now have more restrictions imposed.  

Imagine owning a canal front home and suddenly  having permission denied to dock your boat and to navigate the waters?" -- Kris Wales

Well Kris,

I'm no resident to Michigan but I can certainly appreciate the severity of the situation. To lose such freedoms and have you equity stolen is.....well, it certainly feels like a violation. As if our current houses woes isn't enough.

I can't imagine. We have dredging issues here once in a while, but I can't imagine loosing a canal and access!      

Ricardo:  This is my fear.  I cannot imagine how angry and afraid that the homeowners on that canal felt when they first received notification that their beloved canal was being redesignated a protected wetland. They paid a premium price for that location and the amenities.  Would the state reimburse them for their property values declining?  Of course not.  Would the city of St. Clair Shores income go down because they would be faced with lowering the taxable values of these homes?  Most definately.  What a damned trickle-down that could lead to a flood. 

That is certainly an interesting dilemma that your area faces Kris. But every area has its issues - malls going in that may reduce housing costs - etc. Sometimes strength is in numbers. Maybe the area residents can band together and get some sort of reprieve.

BTW - I have visited the GL several times. HUGE bodies of water! It is hard to imagine that they are down low enough to affect the canals. WOW!

Chris:  It's shocking isn't it?  I cannot imagine how those homeowners felt when they opened their nice little notices from the state.

Michael:   We've actually been in drought like conditions for several years.  Many of the rivers and canals are at low points and most of the canals have needed to be dredged.  Those that did it last year were probably not faced with this "new" issue that the DEQ is bringing to the table.    

Kris, do all your canals lead out to the Lakes?  A good portion of ours are simply to control flooding and lead nowhere.

Maggie:  Yes, I believe they do.  (I haven't come across any yet that lead to nowhere...)  They either lead directly to the lake/s or to a river. 

Kris,  People wonder why we say "real estate is local".  I mean this is a great example.  You know the canals, homes areas and I'm in MI and I had no idea.  You have to know and market in the area you live, work and love.

I'm not surprised due to the water levels but I'm so sorry.  I hope it doesn't come to this for the homeowners.

Karen:   You are absolutely correct.  I am licensed for the state of Michigan and yet I wouldn't try to sell a home in Ann Arbor.  I know very little of your area and wouldn't pretend to - how does that help the client?   I'll be watching this issue very closely.  Already, parts of the state have had the wetlands map "redrawn" and we're waiting to see the effects of that.  Now this...I am becoming more and more angry as I think about it. 

Karen, This is a big problem - I wish you and your clients the best of luck.  I couldn't imagine going through all of this.

Kris - Good luck. I guess the future use for nearby land is something that is always subject to change and should be anticipated but future use designation of a canal? Interesting. And how does a seller sell that canal front home? With a disclaimer that future use of the canal for watercraft is not warranted? Sorry, sarcastic this morning!

That's pretty amazing and frankly shocking. It's hard to imagine not having access to your own waterway..

Kris.... I agree with so many of the comments. Not only is this scary, but I couldn't imagine not having access to part of something that I owned. And I love houses on the water. And as you stated, to be able to protect their investment. Thanks for sharing this.

Kris, as much as I support the environmental protection I can't imagine taking away something that will truly hurt the property owners.  Keep us informed as this moves along.

Kris:  This seems so unfair. IF the homeowners purchased their properties with the water access as part of the deal...then they paid for that right. The impact of this decision could be so huge....HUGE! Like you said...the people need to fight this one...and keep their eyes open.

Kris, I am wondering what the outcome will be and if the homeowners can somehow protect their rights.  And I agree, this issue could reach further then anyone has thought about.  All these people purchased the homes with canal access, it's difficult to imagine it's legal...but so is eminent domain.

Vincent:  Thank you.  I wish everyone here who could be affected in years to come the best of luck.

Gary:  No need to apologize, this is a topic that begs for sarcasm.  The ramifications of this possibly happening widespread is scary.

Al:  Shocking is apt.  That was my reaction when first reading about this happening.

Jeff:   You're welcome.  This could get interesting over the next few years, couldn't it?  It makes me shudder. 

Diane: I agree. These aren't "leased" properties.  These are homes on canals that were purchased and now the state wants to say  "Hey, you were once wetlands, now that the water level is low we'll change it back.."

Elizabeth:  I would imagine city officials will be watching this type of thing very closely.  Homeowners need to keep on top of this also so something doesn't get snuck past them without a fight.

Carole: Eminent domain..something our state has had enough of (Poletown comes to mind.)  This is unbelievable.  I can't imagine how the homeowners felt.  Thank goodness the city officials were on top of this and able to work out what sounds like a compromise.  I'll watch it closely for sure.

Chances are these folks do not own the canal, only up to the canal. They bought with the expectation that they would enjoy the use of it. but I bet it was never guaranteed. And if there was a guarantee it was provided by the seller. Try to collect on that!

Im in Cape Coral Florida, we have a network of over 400 miles of canals and of course a lot of what we sell is "Gulf Access" We require all our buyers to sign a disclosure re: the canals and the Army Corp of Engineers

SEAWALL & DOCK PERMITTING:

Areas of Cape Coral, Fort Myers, Pine Island, Bonita Springs, Estero & Naples contain fresh water, Salt water, gulf access canals, or lakes. Various permits to construct seawalls and other structures along navigable waterways have been granted over the years by the United States Army Corps of Engineers. Some permits have been blanket permits for certain areas or types of navigable waterways and there have been specific permits granted to individual property owners on a case-by-case basis. However, in recent years the United States Army Corps of Engineers have delayed or stopped issuing permits in certain areas. Locatehomes.com recommends you, the Buyer(s) use due diligence to verify that the property you are purchasing may or may not be affected by any decisions by the United States Corps of Engineers or the respective municipalities. Locatehomes.com does not represent the property as to its ability to have a permit pulled for the construction of structures along such navigable waterways including seawalls, docks and other similar structures and we strongly advise you to obtain appropriate advice from a professional engineering firm and/or a Florida Attorney

Southerners have long faced similiar situations on Tennessee Valley Authority (TVA) lakes in several states.

TVA and the Army Corps of Engineeers maintain navigable channels through the rivers which form most TVA lakes and are very zealous about what and where you can put a boat dock even if you own the lakefront property.

I used to live in Michigan so I am aware of the areas that you are talking about. When we lived in Michigan we lived across from a lake. The owners on the lake paid premium for those lots. When a new school was built nearby, somehow it affected the underground water/natural springs and it caused the lake to all but dry up into a somewhat mucky pond. There was nothing the homeowners could do...it's very unfortunate. I hope in your case something can be done.

WELL DESERVED FEATURE MADAME!!! :-)

Property rights should be preserved above all else, If you bought with permission to use the canals, it should never be taken away. We don't have many canals, but we have beautiful beaches. Homeowners in some areas are trying to deny public access to beaches. I don't like this either. Hawaii has the right idea. Maintain public access to all beaches. Maybe a little off topic, sorry, but I get passionate about water access.

Oh no. I feel for the homeowners, it is so beautiful there.

It's bad enough to lose your water because the water recedes due to drought or another natural condition - to have it reclassified as wetlands is a travesty.

This could become a reality in others parts of the country as well as there are droughts and other situations. Interesting to watch and see what happens. All the best for the holiday season.

Kris--Living in a state with much shoreline, I understand exactly what you are saying and agree that this could be just the beginning.

Living in California's Mojave Desert, I'm well aware of the public land restrictions that these environmental wackos are doing.  One case of many:  the desert tortoise.  If you have some desert land, surrounded by homes, that you want to build on and "evidence" is found that a torotise might have dug a hole there sometime in the past, there goes the stop sign on your building.  Truth of the matter is the two threats to the tortoise are a lung disease that comes and goes, and ravens eating the young.  Good luck in preserving the landowner's use of the canals.

Jim Dunlap, Yucca Valley/29 Palms, CA

I've seen this crop up in Minnesota and Wisconsin.  The DNR (Department of Natural Resources) in Minnesota always seems reluctant to permit channel dredging.  And lower water levels have really put the squeeze on channel shore owners who are at the mercy of those channels for boat navigation and access to open water. 

Moderator:  Thank you so much for featuring this article.  I'm sure it is going to be an issue here in Michigan that would and should be followed closely by the residents of this state.  From the comments I've received, it appears it's also something that others all over the country are either facing now or could face in the future. 

Ron:  Thanks so much for showing me the text that is used in your purchase agreements and notice to home buyers in your area of Florida.  It is interesting.  Like Florida, here in Michigan the Army Corp of Engineers is involved in the placement of new seawalls.  I dealt with them myself many years ago and the application process was not as horrible as I thought it was going to be.

With that said...the homes that are on the canal I was referencing above have been there for over 40 years. People purchased these homes at a premium waterfront/access price.  The seawalls have also been there many many years.  It is only recently that the water levels in our canals have receded to a depth that vegetation is growing (and showing).  Now, years and years later, the Department of Environmental Quality steps in and says "you were once wetlands, we'll reclassify you as such again."  Thankfully the city manager of St. Clair Shores said "Hold on there!" and a compromise was worked out.

It sure is going to be interesting over the next few years if water levels don't begin to rise to "normal" levels.  

Jim:  Homeowners here go through the same process when they purchase a home on a navigable water that does not already have a seawall and boat dock.  This instance is with a decades long  existing canal that has docks already in place (and boats waiting to be put in next spring!)  It makes me nervous for all canal front owners in this state.

Kelly:  I've heard of that happening much too often.  A couple of years ago acquaintances purchased on a private lake-to-be-filled in another county.  They also paid a premium price for the "lake lot".   The large hole was never filled with water.   What a darned shame for those homeowners in your case who had the lake only to see it being sucked dry.

Elizabeth:  Thanks so much hon.  This issue has me very concerned.

Karl:  You weren't off topic at all, no need to apologize.  I am also quite interested in preserving water access and rights, especially the rights of those who paid for the access years and years ago and suddenly find those privileges in jeopardy.  It is also very interesting to me to hear how these issues are seen and dealt with in other areas of our country.  Thank you so much for your comment, I do appreciate hearing about what you had to offer on this topic.

Missy:   As do I...it is quite beautiful and a way of life for people in this area.  There are probably thousands of canal front home owners here.  Thanks Missy.

Sharon:  Travesty is apt.  They were kicked when they were down but thankfully the city manager and the residents didn't take it lying down but rose up and said "Are ya kidding me???"

Bob & Carolyn:  Like you, I believe we haven't heard the last of this rearing its ugly head.  Thank you.  The very best to you and yours also!

Teri:  I hope our states DEQ was put on notice that the residents here will not give in without a fight.  Thanks Teri, I also am interested in seeing what the next few years brings here and around the country if the drought conditions continue.

Jim:  Wow, I cannot imagine what your buyers due diligence process must entail.  How in the world does a buyer who wants to purchase land in your area get through it all?  Now they have to look for a tortoise hole?  Kudos to you Jim, thankfully your buyers have a good agent looking out for them and these issues that are native to your area!

Eric:  I had a feeling that those states (Like your Minnesota) are experiencing or will experience much the same issues.   Residents should not have their rights taken away because Mother Nature changed things for a few years.  Thanks for letting me know what you are seeing Eric.

What an interesting post.  The ramifications are truly scary for those property owners.  I hope you'll keep us up to date on what happens.

Wouldn't this be a "taking" if the access rights and the rights to maintain the canal were part of the original bundle of rights that were purchased with the property?  If they change the rules now, wouldn't they have to compensate the owners for what they are losing?

Bob Mitchell

ValueList Real Estate Services, Inc. 

the future use for our land is something that is always subject to change and should be anticipated!

I can't imagine what these people are feeling right now. I also don't know what they paid for their properties but I'm sure they could potentially lose hundreds of thousands of dollars. I hope they can work this out to protect these homeowner's investments.

Bob Mitchell brings up an interesting point.  I suppose it could be argued that the loss of rights to navigation in water frontage could be regarded as a "taking".  But in Minnesota and Wisconsin, their respective Departments of Natural Resources have broad powers when it comes to determining whether or not a watercourse may be dredged. 

I have heard a Wisconsin DNR official argue, in a public hearing, that water rights attached to a property are not perpetual if they conflict with the public good.  His argument was that dredging stirs up silt and may damage fish and other aquatic wildlife. 

Diane:   I have a feeling this will be an ongoing issue because of lower water levels for a while here in our state. I'll definitely keep all updated. Thanks Diane.

Bob:  I've had the same thoughts rolling through my head.  I would imagine that would be something that attorneys and the state would argue out in court.  Along with the property owners, who would compensate the cities for lower property tax revenue? 

Mohamed:  Future land use is something that happens due to easements.  What I'm talking about is changing 40+ years of canal front property that was navigable waterway to "protected wetlands" that would have restrictions.  Should those home owners have anticipated lower water levels and this happening to them?  Not in my opinion.

Pam:  So far, it looks like a compromise agreement was reached.  I'll be following this to make sure that agreement doesn't fall apart and these homeowners rights are protected.  Thanks for reading and commenting Pam.

Eric:  The DNR and Army Corp of Engineers have wide powers here also, as well as the state of Michigans Department of Environmental Quality.  (Think of the good that could come of combining all of these offices, as well as tax-payer savings.  That's another rant...)   The argument that your DNR rep made sounds like the same logic that was applied here in this case.  Thankfully, the city officials were on top of things and went to bat for the homeowners and reached a compromise.  Eric, thanks for chiming in with your own local take on things. 

Kris, I was just talking with a lender here in TN about the same thing happening in GA.  Not exactly taking the water rights away from homeowners, but the water is going away.  Will it continue North, West......?  To be a homeowner on waterfront property right now must be stressful. 

Be thankful you have some water.  We have lakes in Georgia drying up and boats sitting on dry ground because of the severe drought.

Anona:   I'm reading more and more about the effects that drought is having in your state (and in Georgia as Dallas stated.)   I can't imagine having waterfront property and watching the water levels fall and fall with no replenishing in sight.  How sad.

Dallas:  We are grateful.  The Great Lakes region has been blessed.  I do feel for those of you in the drought ridden states that have had entire lakes dry up.  

Hi Kris, great post and congratulations on the feature! That is scary to think what that could do to property values if they did not allow dredging, isn't a canal a man made water passage to navigate boats to bodys of water?

I agree with you and I'm glad the city manager was on top of this. Every waterfront homeowner in Macomb County should be aware of this.

Mike:  I'm sure you're hearing more than I am.  Please help keep us all updated if you see or hear anything else going on.   And yes, I thought that was what the definition of a canal was...I wonder how that will be twisted around.