Estates in Land Flashcards
What do individuals actually “own” when they buy land in England and Wales?
A) The physical land itself
B) A proprietary right (an estate in land)
C) A permanent right to use the land
D) The land along with all rights to minerals and airspace
B) A proprietary right (an estate in land)
📌 Explanation: All land in England and Wales belongs to the Crown. What individuals own is a legal estate (either freehold or leasehold), which is a proprietary right to possess the land.
What are the two recognised legal estates in land under the Law of Property Act 1925?
A) Freehold and commonhold
B) Leasehold and mortgage
C) Freehold and leasehold
D) Easement and restrictive covenant
✅ Answer: C) Freehold and leasehold
📌 Explanation: LPA 1925, s 1(1) states that the only two legal estates in land are freehold (fee simple absolute in possession) and leasehold (term of years absolute).
Which estate in land is known as fee simple absolute in possession?
A) Leasehold estate
B) Freehold estate
C) Commonhold estate
D) Easement
Answer: B) Freehold estate
📌 Explanation: Fee simple absolute in possession is the highest form of land ownership, allowing indefinite possession unless inherited or transferred.
What happens to freehold land when the owner dies without heirs and without a will?
A) It is given to the nearest neighbour
B) It is auctioned by the government
C) It becomes bona vacantia and reverts to the Crown
D) It remains unowned and freely available
Answer: C) It becomes bona vacantia and reverts to the Crown
📌 Explanation: If a freehold owner dies intestate and without heirs, the land is considered bona vacantia and returns to the Crown.
Which of the following best describes a leasehold estate?
A) A permanent right to possess land
B) A right to possess land for a fixed period
C) A right to build on another person’s land
D) A right to prevent someone from using land
Answer: B) A right to possess land for a fixed period
📌 Explanation: A leasehold estate is granted by a freeholder and lasts for a fixed term (weeks, years, or even centuries).
What happens when a leasehold estate expires?
A) The tenant automatically becomes the owner
B) The land is confiscated by the government
C) The land automatically reverts to the landlord (reversion)
D) The tenant is required to pay a fine
C) The land automatically reverts to the landlord (reversion)
📌 Explanation: When a lease ends, possession of the land returns to the landlord unless renewed.
What is a sub-lease?
A) A lease granted for a shorter period than the original lease
B) A lease given by a freeholder
C) A lease that has expired
D) A type of mortgage
Answer: A) A lease granted for a shorter period than the original lease
📌 Explanation: A sub-lease (or underlease) is a lease created by a tenant rather than the freeholder.
What is the residue of an estate after a lease is granted?
A) The freehold reversion
B) The leasehold extension
C) A new lease
D) A personal right
A) The freehold reversion
📌 Explanation: After a lease is granted, the remaining interest in the land is called the freehold reversion.
Which of the following statements is true about commonhold?
A) Commonhold is a new type of estate in land
B) Commonhold is a form of freehold designed for apartments
C) Commonhold means a leasehold that lasts for 999 years
D) Commonhold is the same as an easement
B) Commonhold is a form of freehold designed for apartments
📌 Explanation: Commonhold (introduced in 2002) allows apartment owners to own their flats as freehold without a landlord.
Who owns the freehold in a commonhold development?
A) The government
B) A commonhold association
C) The leaseholder of each unit
D) The local council
B) A commonhold association
📌 Explanation: The commonhold association, a company owned by flat owners, owns the freehold and manages communal areas.
What is the main disadvantage of leasehold ownership compared to freehold?
A) Leasehold ownership cannot be transferred
B) Leasehold properties decline in value over time as the lease gets shorter
C) Leasehold owners can never own their homes
D) Leasehold owners cannot rent out their property
B) Leasehold properties decline in value over time as the lease gets shorter
📌 Explanation: Leasehold is a temporary right to land, so its value reduces over time unless the lease is extended.
Which legal act sets out the two legal estates in land?
A) The Land Registration Act 2002
B) The Leasehold Reform Act 1967
C) The Law of Property Act 1925
D) The Commonhold and Leasehold Reform Act 2002
C) The Law of Property Act 1925
📌 Explanation: The LPA 1925, s 1(1) defines the only two legal estates: freehold and leasehold.
A leaseholder who owns a flat under a long lease wants to convert it into commonhold. What is required?
A) The freeholder’s permission
B) A 5-year ownership period
C) A majority vote of leaseholders in the building
D) A government approval process
C) A majority vote of leaseholders in the building
📌 Explanation: To convert a building into commonhold, leaseholders must collectively agree and apply to the Land Registry.
Why is commonhold not widely used in England and Wales?
A) It is too expensive
B) It is not legally recognised
C) It has not been widely adopted due to legal and practical challenges
D) It is only available for social housing
C) It has not been widely adopted due to legal and practical challenges
📌 Explanation: Commonhold exists in law but has seen little uptake, with fewer than 50 developments in England and Wales.
Tom is considering buying a flat in a commonhold property. What is one key difference between commonhold and traditional leasehold flats?
A) Commonhold owners hold a lease for 99 years.
B) Commonhold owners own their flat as a freehold and share responsibility for communal areas.
C) Commonhold flats revert to the landlord after 100 years.
D) Commonhold is only available in retirement homes.
Answer: B) Commonhold owners own their flat as a freehold and share responsibility for communal areas.
📌 Explanation: In commonhold, there is no landlord, and the owners collectively manage the property.
A landlord grants a 100-year lease on an office building to Company A. Company A then grants a 30-year lease to Company B. What happens when the 100-year lease expires?
A) Company A’s lease ends, but Company B’s lease continues.
B) Company B’s lease continues as an independent lease.
C) Both Company A’s and Company B’s leases end automatically.
D) Company A gets freehold ownership.
C) Both Company A’s and Company B’s leases end automatically.
📌 Explanation: A sub-lease cannot last longer than the original lease. When Company A’s lease ends, Company B’s sub-lease also ends.
Anna rents a flat under a leasehold agreement for 99 years. After 50 years, she wants to sell the flat. Can she do this?
A) No, because leaseholders cannot sell their property.
B) Yes, but she can only sell the remaining years of the lease.
C) Yes, and she can grant a new 99-year lease to the buyer.
D) No, the lease will revert to the landlord before she can sell.
B) Yes, but she can only sell the remaining years of the lease.
📌 Explanation: Leasehold estates are temporary and can be sold, but only for the remaining duration of the lease.
John grants his tenant, Sarah, a 3-year lease for his shop. One year later, Sarah decides she no longer needs part of the shop and sub-leases a section of it to Mike for 2 years.
Who holds the freehold estate?
A) John
B) Sarah
C) Mike
D) Both Sarah and Mike
A) John
📌 Explanation: John retains the freehold estate while Sarah holds a leasehold estate (3 years), and Mike holds a sub-leasehold estate (2 years).
David buys a house, believing he now owns the physical land itself. However, his solicitor tells him that all land belongs to the Crown.
What does David actually own?
A) The land itself.
B) A freehold estate, which is a right to possess the land indefinitely.
C) A leasehold estate, which means the land will revert to the freeholder.
D) Nothing, because the Crown owns all land.
B) A freehold estate, which is a right to possess the land indefinitely.
📌 Explanation: In England and Wales, ownership of land is actually ownership of a proprietary right (estate) rather than the physical land itself.
Which of the following best describes the concept of reversion in land law?
A) The automatic transfer of a freehold estate to the government.
B) The process by which a leasehold estate returns to the landlord after the lease expires.
C) The ability of a leaseholder to renew their lease indefinitely.
D) A tenant’s right to buy the freehold of a property.
Answer: B) The process by which a leasehold estate returns to the landlord after the lease expires.
📌 Explanation: When a lease ends, the right to possession automatically reverts to the landlord (freeholder or superior leaseholder), known as freehold or leasehold reversion.
