Which of the following is a distinguishing characteristic of a leasehold estate?

Which of the following is a distinguishing characteristic of a leasehold estate?

• A. Indefinite duration
• B. Not inheritable
• C. Only for commercial use
• D. Exclusive ownership

Answer: (B)

A leasehold estate is a type of property interest that grants the tenant (lessee) the right to occupy and use a property for a specified period under the terms of a lease agreement. One of the key characteristics of a leasehold estate is that it is not inheritable. This means that if the tenant passes away, their rights to occupy the property do not transfer to their heirs or estate; instead, the leasehold interest typically reverts to the landlord or is managed according to the lease terms. The concept of non-inheritability highlights that leasehold estates are temporary arrangements, distinct from freehold estates where ownership can be passed down through inheritance. This characteristic emphasizes the limited nature of the tenant's rights compared to ownership of the property itself, which can be held indefinitely and inherited. In contrast, the other options reflect different aspects of property rights. For instance, a leasehold estate does not possess an indefinite duration, as it is bound by the terms defined in the lease agreement. Furthermore, while leasehold estates can be used for various purposes, including residential, they are not limited to commercial use only. Lastly, the concept of exclusive ownership pertains more to freehold estates, where the owner holds complete title to the property, unlike in a

A leasehold estate is a type of property interest that grants the tenant (lessee) the right to occupy and use a property for a specified period under the terms of a lease agreement. One of the key characteristics of a leasehold estate is that it is not inheritable. This means that if the tenant passes away, their rights to occupy the property do not transfer to their heirs or estate; instead, the leasehold interest typically reverts to the landlord or is managed according to the lease terms.

The concept of non-inheritability highlights that leasehold estates are temporary arrangements, distinct from freehold estates where ownership can be passed down through inheritance. This characteristic emphasizes the limited nature of the tenant's rights compared to ownership of the property itself, which can be held indefinitely and inherited.

In contrast, the other options reflect different aspects of property rights. For instance, a leasehold estate does not possess an indefinite duration, as it is bound by the terms defined in the lease agreement. Furthermore, while leasehold estates can be used for various purposes, including residential, they are not limited to commercial use only. Lastly, the concept of exclusive ownership pertains more to freehold estates, where the owner holds complete title to the property, unlike in a