What is the main difference between "leasehold" and "freehold" estates?

The main difference between leasehold and freehold estates lies in the duration and nature of ownership. Leasehold estates are essentially rental agreements that provide a tenant with the right to use and occupy a property for a specific period of time, as outlined in the lease agreement. This arrangement means that the tenant does not own the property but has the right to use it for the duration of the lease. At the end of this period, the rights revert back to the landlord or property owner.

In contrast, freehold estates represent ownership of real property that is potentially indefinite in duration. This means that the owner has the right to possess the property without a fixed expiration date. Freehold estates can indeed be inherited, and are often passed down through generations, which is a contrasting characteristic when compared to leasehold agreements, which are temporary arrangements.

Focusing on other options, there is a misunderstanding in suggesting that leasehold estates are not recognized by law; they are very much recognized and governed by legal frameworks. Moreover, stating that freehold estates can only be inherited overlooks the fact that property owners can sell, lease, or otherwise transfer freehold estates during their lifetime. Lastly, the concept of freehold estates being limited to short-term agreements is inaccurate, as freehold