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Glossary term

Water Rights

Definition

Water rights are the legal rights to use water from a source on or near a property — critical for irrigation in many regions.

Technical definition

Water rights are legally recognized entitlements to use water from a defined source, governed by state law and often tied to or separate from land ownership.

Why it matters

In many areas, especially the West, water rights heavily influence farmland value and productivity. Rules vary by state, so they warrant careful review.

Example

Irrigated farmland with secure water rights may be valued differently from comparable land without them.

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