Real Property

Life Estate

An ownership interest in real property that lasts only for the lifetime of a specified person.


Definition

A life estate grants ownership rights for the duration of a specific person's life, called the measuring life. The life tenant has the right to possess, use, and rent the property, but cannot commit waste (damage that diminishes the property's value for future owners). When the measuring life ends, the property either reverts to the original owner (reversion) or passes to a designated third party (remainder). A life tenant is responsible for property taxes, mortgage interest, and ordinary maintenance during their lifetime.

Exam Tip

A life tenant can sell their interest, but the buyer only gets the right for the remaining duration of the measuring life. The life tenant cannot will the property because their interest dies with them.

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