B's interest becomes a present interest (FSA) upon A's death.Here, B has a future interest called a remainder.A grant 'to A for life, remainder to B.'.Original grantor's interest becomes a present interest (FSA) upon A's death.In this case, the original grantor has a future interest called a reversion.Therefore, if A, the grantee, sells his life estate to B, B's right terminates upon the on A's death.

Therefore, he only has the right to alienate the life estate. However, the grantee can only grant what he owns.Exists for the life of the grantee, who has the right to possess and use the land.Life Estate (LE) (future interest can be reversion or remainder).Court infers the 'and his heirs' part if it's not included.Created by a grant 'to A' or 'to A and his heirs.'.No future interests are associated with the property that can cut short ownership.FSAs are devisable, inheritable, and alienable.Fee Simple Absolute (FSA) (no future interests associated).And then there are building codes and restrictions you have to adhere to, such as easements, zoning ordinances, and fire regulations.Property Law Outline - Present Interests in Freehold Estates Local zoning laws can also come into play certain structures and types of businesses cannot be built near a school or park. For example, you have to pay taxes (duh), and you’re still subject to compulsory purchase (if the city decides to build a freeway through your property and offers to pay you fair market value for your place) or police action (as in, “Open up! This is the police!”). The government still has a sayĪlthough you have fee simple ownership interest, be aware that Uncle Sam still has the right to make demands of you and your property.

They may require you to get approval from a board or committee before you can sell your unit. Check your covenants, conditions, and restrictions, or CC&Rs, to find out what type of ownership you’ve purchased. No one (except the government in certain instances) can tell you who can buy it or what price you can ask for it.īe aware that if you’ve purchased a townhouse, co-op, or condo, you probably don’t own it fee simple your deed is likely to say “lease ownership.” While you own the residence or unit itself, you probably don’t own the land on which the development is built. Put your property on the market and sell it to any person or organization at whatever price you find acceptable. You can sell the property without restrictions

Fee simple absolute have remainder