Unit 2: Leasehold Estates

Question 1

What is an estate?

Answer 1

The legal interest in real property that allows for possession.

Question 2

What are the 2 types of estates?

Answer 2

1) Freehold

2) Leasehold

Question 3

What is a leasehold estate?

Answer 3

The POSSESSION of real property for a fixed or definite duration.

Question 4

What is another name for the landlord of a leasehold estate?

Answer 4

Lessor

Question 5

What is another name for the tenant of a leasehold estate?

Answer 5

Lessee

Question 6

Who holds a leasehold estate?

Answer 6

Tenant or lessee

Question 7

Who holds a leased fee estate?

Answer 7

Landlord or lessor

Question 8

What are the 4 types of leasehold estates?

Answer 8

1) Tenancy for Years
2) Periodic Tenancy
3) Tenancy at Will
4) Tenancy at Sufferance

Question 9

What is tenancy for years?

Answer 9

Possession of real property with set terms and a predetermined termination date.

Question 10

What is periodic tenancy?

Answer 10

Possession of real property that renews from period to period (month to month).

Question 11

What is tenancy at will?

Answer 11

Possession of real property that has an indefinite duration.

Question 12

What is tenancy at suffereance?

Answer 12

This occurs when a tenant has stayed beyond termination without consent.

Question 13

What are the 2 types of leases?

Answer 13

1) Gross Lease

2) Net Lease

Question 14

What is another name for gross lease?

Answer 14

Fixed Lease

Question 15

What is a gross lease?

Answer 15

The tenant pays a fixed rent and the landlord pays all expenses.

Question 16

T/F Net leases are typically used in residential properties.

Answer 16

False. Gross leases are used in residential.

Question 17

What is a net lease?

Answer 17

The tenant pays the fixed rent plus expenses.

Question 18

T/F Gross leases are typically used in commercial properties.

Answer 18

False. Net leases are used in commercial.