What type of property rights does a life estate holder have?

Study for the New Jersey Title Insurance Producer Exam. Study with flashcards and multiple-choice questions, each question has hints and explanations. Get ready for your exam!

A life estate grants the holder the right to occupy and use the property for the duration of their life. This means that the individual can live on the property until they pass away, but their rights are limited to their lifetime. Upon their death, the property reverts to the grantor or a designated remainderman, thus terminating the life estate.

In this context, options that suggest the rights to sell or bequeath the property are not applicable to life estate holders. While a life tenant may generate income from the property, such as through rental income, this right does not extend to controlling the ultimate disposition of the property upon their death. The primary and defining characteristic of a life estate is indeed the holder's right to reside on the property for their lifetime.

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