Which of the following best describes a leasehold estate?

A leasehold estate is characterized by the possession and use of real property for a specified period under the terms set out in a lease agreement. Unlike freehold estates, which convey complete ownership of the property, a leasehold estate grants the tenant (or lessee) the right to occupy and utilize the property for a predetermined duration, as stipulated in the lease. The landlord (or lessor) retains ownership of the property during this period.

This definition aligns perfectly with the concept of leasehold estates in real estate, highlighting the temporary nature of the tenant's rights and the underlying ownership that remains with the landlord. The tenants enjoy certain rights to the property but do not have the same level of control or ownership as a freeholder would. Understanding leasehold estates is crucial for anyone involved in real estate transactions, as it impacts property rights, rental agreements, and overall property management.