Person B does not receive any right to possess Blackacre immediately however, once person A dies, possession will fall to person B (or his estate, if he died before person A). Person A acquires possession of Blackacre. Consider what happens when O transfers the property, 'to A for life, then to B'. The conditions triggering the transfer of possession, first to the tenant then back to the landlord, are usually detailed in a lease.Īs a slightly more complicated example, suppose O is the owner of Blackacre. The landlord may own a house, but has no general right to enter it while it is being rented. A common example is the landlord-tenant relationship. Future interests are created on the formation of a defeasible estate that is, an estate with a condition or event triggering transfer of possessory ownership.
In property law and real estate, a future interest is a legal right to property ownership that does not include the right to present possession or enjoyment of the property. For the actuarial valuation of future streams of income, see Future interests (actuarial science). This article is about the legal concept of future interests in property.
