Land Deeds in Legends of Ultima are required to claim ownership of land. First, land must be claimed VIA a Land Deed and then a house can be placed on the claimed land.
The size of your plot dictates the size of house you may place. The larger the house, the larger the land size required. Once land has been claimed with a Land Deed it is recommended that players expand their plot to maximum size as soon as possible. The overall maximum size allowed by the game is a 36 x 36 plot. When trying to expand, if you cannot get to the desired size it is recommended you redeed your plot and move. Redeeding is free and returns the land but any expansions already paid for will not be reimbursed so choose your site wisely. Once you have surrounding neighbors you will not be able to expand into their land and will be land locked to whatever size you have.