California Real Estate Broker ExaminationPropertyEasy
A landowner holds title to a property in fee simple. This means the landowner possesses the most complete and absolute form of ownership, including:
- AOwnership that is defeasible upon the occurrence of a specific event.
- BThe highest possible degree of ownership, with all rights, subject only to government powers.
- CJoint ownership with another party, with rights of survivorship.
- DOwnership for a specified period, after which it reverts to another party.
Show answer & explanationAnswer & explanation
Correct answer: B. The highest possible degree of ownership, with all rights, subject only to government powers.
Fee simple absolute is the highest and most comprehensive form of land ownership. It grants the owner all rights to the property, indefinitely, subject only to governmental powers like eminent domain, police power, taxation, and escheat.
Why the other options are wrong
- A. This describes a defeasible fee estate (fee simple determinable or fee simple subject to condition subsequent).
- C. This describes a form of co-ownership, like joint tenancy, not the type of estate itself.
- D. This describes a leasehold estate or an estate for years, not fee simple.
Fee Simple Absolute
The most complete and absolute form of ownership of real property, conveying all rights and privileges to the owner, indefinitely.
- Highest possible degree of ownership.
- Indefinite duration and inheritable.
- Subject only to government powers (PETE).
Memory trick: Estates define your 'status' with the land.