Are Mineral Rights Considered Real Property?

How do you find out who owns mineral rights to your land?

Common ways to research mineral rights include: Reviewing County Records and Tax Assessor’s Documents – By performing a title deed search at the county records office, you can see the ownership history of any particular property over time..

Do mineral rights include timber?

Mineral Rights are property rights to exploit an area for the minerals it harbors. Mineral rights can be separate from property ownership. Timber Rights are an interest in a property’s timber that allows one to buy or sell the interest in the timber separately from the land. … Timber is like a bank account…

Are mineral rights real estate?

Mineral rights are legal rights or ownership to the minerals below the surface of real estate, which can include coal, oil, natural gas, metals, and more (air rights and water rights are not generally included in mineral rights).

How deep do mineral rights go?

How far down the mineral rights go depends on the mineral and technology used. The average depth of open-pit mining – a surface mining technique used to extract metals such as nickel, copper, uranium, and coal – is between 100–500 meters. For deep mining, the average depth is 2.8–3.4 kilometers.

How do I retain mineral rights when selling property?

You can retain your mineral rights simply by putting an exception in your sales contract, provided that the buyer agrees to it, of course. If you sell your house with no such legal clarification, then those mineral rights automatically transfer to the buyer.

Who do mineral rights belong to?

Mineral rights are the rights to underground resources including oil, natural gas, gold, silver, copper, iron, coal, uranium, and other minerals. Sand, gravel, limestone, and subsurface water are not considered mineral rights and typically belong to the surface rights holder.

What does it mean to have mineral rights on your property?

Mineral rights are ownership claims against the natural resources located beneath a plot of land. In the United States, mineral rights are separate from surface rights.

How deep do I own my land?

As for how much of the land below your property you own, there’s no real limit enforced by courts and there have been cases of people being prosecuted for trespassing on other people’s property for digging even in the thousands of feet below the ground in the search for oil.

What are oil mineral rights worth?

Conclusion. If you are ready to list or purchase mineral rights, the best mineral rights value rule of thumb to use is the current market price. Today, your mineral rights may sell for $2,000 an acre, but if the developers drill a few dry wells tomorrow, that value could plummet.

Is it better to sell or lease mineral rights?

When you are selling your mineral rights, you are giving up all future rights to proceeds from minerals extracted. … For most mineral owners, it’s better to lease your mineral rights than sell them. This is because you will still receive an up front lease bonus for leasing your mineral rights.

What happens if I find gold on my property?

In California, there is a law mandating that any found property valued over $100 be turned over to police. Authorities must then wait 90 days, advertise the lost property for a week, and finally release it to the person who found it if no one could prove ownership.

What is the average royalty paid for oil?

12.5 percentThe customary royalty percentage is 12.5 percent or 1/8 of the value of the oil or gas at the wellhead. Some states have laws that require the owner be paid a minimum royalty (often 12.5 percent).

Are mineral rights considered an asset?

An identifiable non-monetary asset without physical substance. Such an asset must be identifiable, allow the owner to have control over a resource, and provide future economic benefits. Examples: mineral rights, databases, franchises, concessions, licenses, patents, trade-marks, and copyrights.

Should I buy property without mineral rights?

One important factor you must keep in mind is that if real estate contains mineral rights, simply buying the property doesn’t make you the owner of them. Since mineral rights can be sold separately from the land itself, even if you own the land, someone else may hold ownership of what’s below it.

What happens if you don’t own mineral rights?

Mineral rights don’t come into effect until you begin to dig below the surface of the property. But the bottom line is: if you do not have the mineral rights to a parcel of land, then you do not have the legal ability to explore, extract, or sell the naturally occurring deposits below.