Introduction to Real Estate

Types of Land Estates

There are several types of land estates. Below are some examples,
Fee simple: The preference of the nature of the property is enjoyed by a tenant. This is an unconditional type of estate whereby a tenant can lease an estate for a long period of time.

Conditional fee simple: A formal document as the law requires is given to a person before he/she can stay in a rented home. The document usually has terms and conditions which are clearly stated by the tenant of a particular property. This type of estate lasts forever as long as a condition does not occur.

Life estate: This is an estate whereby a tenant may sell his estate to another person

Leasehold: A type of estate whereby a person stays in a leased estate or property for a short period of time. He/she pays rent to the tenant as clearly stated in the contract. After the limited state duration is terminated, the tenant enjoys his future interests. The two main important types of interest include reversion and remainder interests.

Reversion Interest

This occurs when a tenant gives an estate to a person for a short period of time. However when the period expires, the ownership of land is returned to the owner of the estate. His/ her future interest is known as a reversion.

Remainder Interest
This occurs when a tenant with an unconditional estate offers someone a limited estate or unlimited estate. When the period of a limited estate expires or a condition arise, land is given to a third party. He/she is known to have a remainder and therefore the law permits him to limit the use of land by the life tenant.

An estate may be owned by mutual tenants. The main difference in mutual ownership is inheritability of an estate. In mutual ownership, if tenants are married, the death of a partner means that the property will rightfully be passed to the surviving person. This property is inherited by the heirs after the demise of the surviving person. Real property may be jointly owned by several tenants through co-operatives and condominium.

This article does not intend to provide legal advice.

Additional Attorney Adrian Thomas can assist you with any real estate litigation needs you may have. Serving clients near Fort Lauderdale, Florida.