Real Estate Chapter 5 Flashcards

Questions and Answers

What is an estate for years?

A leased possession of property for a certain, specific period of time; also known as a tenancy for years.

Every residential tenancy consists of what two parties?

The landlord and the tenant.

Who is referred to as the landlord?

The party granting the lease, a.k.a. the lessor.

Who is referred to as the tenant?

The party to whom the lease is granted, a.k.a. the lessee. Signup and view all the answers

What is a leasehold estate?

A type of property ownership that allows use and occupancy of a property that a tenant does not actually own. Signup and view all the answers

What is a reversionary right?

A right that allows the landlord to regain possession of the property after the lease term has expired. Signup and view all the answers

What are the four types of leasehold estates?

Estate for Years, Estate from Period to Period, Estate at Will, Estate at Sufferance. Signup and view all the answers

What is a periodic estate?

A lease that is automatically renewed at the end of each lease period until termination by either party. Signup and view all the answers

What is an estate at will?

A leasehold estate that exists without an actual lease document, termination date, or specific rental period. Signup and view all the answers

What is a tenancy at sufferance?

When a tenant remains in possession of a property beyond their lease term without the landlord's consent. Signup and view all the answers

When a tenancy at sufferance occurs, what is the tenant referred to as?

Holdover tenant. Signup and view all the answers

What happens if a holdover tenant pays rent and the landlord accepts?

The tenancy at sufferance becomes a periodic estate. Signup and view all the answers

Study Notes

Leasehold Estates Overview

Estate for Years: A lease for a specified time with automatic termination at the end of the term and no renewal or notice needed.
Periodic Estate: Renewed automatically after each lease period; requires notice to terminate, common example is month-to-month rentals.
Estate at Will: Exists without a formal lease document, specific termination date, or rental period.
Tenancy at Sufferance: Occurs when a tenant remains beyond the lease term without landlord consent, referred to as a holdover tenant.

Key Parties in Residential Tenancies

Landlord: Also known as the lessor, this party grants the lease.
Tenant: Also known as the lessee, this party receives the lease granting occupancy rights.

Leasehold Estate Characteristics

Leasehold Estate: A type of property use where a tenant occupancy does not equate to ownership, with the obligation to pay rent for the lease duration.
Reversionary Right: The landlord retains ownership rights, allowing property possession to revert after the lease ends, often referred to as "leased fee estate plus reversionary right."

Types of Leasehold Estates

Four Types:
- Estate for Years
- Estate from Period to Period
- Estate at Will
- Estate at Sufferance

Specific Definitions

Holdover Tenant: A tenant who remains in possession of property after lease expiration without landlord consent.
Conversion to Periodic Estate: If a tenant at sufferance begins paying rent and the landlord accepts, the arrangement transforms into a periodic estate.

Description

Test your knowledge on key terms related to real estate in Chapter 5. This set of flashcards covers essential vocabulary such as 'estate for years,' 'landlord,' and 'tenant.' Perfect for students looking to solidify their understanding of leasing concepts.