National Real Estate Exam (PSI)Leasing and Property ManagementEasy
A landlord and tenant agree to a lease for a fixed term of one year. The lease specifies an exact start and end date and contains no provisions for automatic renewal. This type of leasehold estate is known as a(n):
- ATenancy at sufferance
- BPeriodic tenancy
- CTenancy at will
- DEstate for years
Show answer & explanationAnswer & explanation
Correct answer: D. Estate for years
An estate for years (or term tenancy) is a leasehold estate for a definite fixed period of time, with explicit start and end dates. It terminates automatically without notice.
Why the other options are wrong
- A. A tenancy at sufferance occurs when a tenant unlawfully holds over after a lease expires, which is not described.
- B. A periodic tenancy continues for an indefinite period, renewing automatically until notice is given, which is not the case here.
- C. A tenancy at will has no fixed term and can be terminated by either party with notice, unlike a fixed-term lease.
Estate for Years
A leasehold estate for a definite, fixed period of time, with a specific start and end date.
- Also known as a 'term tenancy'.
- Does not require notice to terminate; it ends automatically.
- Can be for any fixed duration, from days to many years.
Memory trick: YEARS have a definite start and end.