What is referred to as "leasehold estate"?

A leasehold estate refers to a specific type of property interest in which a tenant has the right to occupy a property for a designated period, as defined by a lease agreement. This arrangement does not confer ownership of the property to the tenant but grants them the right to use and inhabit the space for the duration of the lease.

In a leasehold estate, the terms and duration of occupancy are clearly outlined in the lease, typically specifying responsibilities for both the landlord and the tenant. This distinguishes it from other property interests, such as ownership through a sale, which grants full rights over the property to the buyer, or indefinite occupancy which would suggest a permanent status not typical in lease agreements.

Therefore, understanding leasehold estates is crucial for real estate professionals as they navigate rental agreements and tenant rights, making it clear that option C accurately captures the essence of a leasehold estate.