property
freehold estate
An ownership interest in real property of uncertain or unlimited duration. Freehold estates include fee simple absolute, fee simple defeasible estates, and life estates. They contrast with leasehold (nonfreehold) estates, which give a tenant the right to possess property for a time without ownership. Holders of freehold estates are considered owners, while leasehold holders are tenants.
- Exam tip
- Freehold equals ownership (fee simple or life estate); leasehold equals tenancy. A life estate is freehold even though it ends, because its exact end date is uncertain.
- Example
- A homeowner with fee simple title and a person holding a life estate both have freehold estates; an apartment renter with a one-year lease has a leasehold.
Related terms & state variants
Sources
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Last verified: 2026-10-23