Texas Real Estate State Practice Exam

Who receives the estate after the life tenant in a life estate?

1. Remainderman

2. Trustee

3. Fee Simple Holder

4. Joint Tenant

The correct answer is: Remainderman

A life estate is a unique form of property ownership where one individual, known as the life tenant, has the right to use and occupy the property for the duration of their life. Upon the death of the life tenant, the property does not become part of their estate to be distributed according to their will or according to intestacy laws. Instead, the interest in the property passes to another designated individual or entity known as the remainderman. The remainderman holds a future interest in the property and is entitled to receive ownership after the life tenant's rights come to an end. This is a crucial aspect of life estates, distinguishing them from other forms of property ownership. The remainderman has a vested interest, meaning their property rights are established and will become enforceable when the life tenant dies. In contrast, a trustee, fee simple holder, and joint tenant do not automatically receive the estate after the life tenant. A trustee is appointed to manage property in a trust but does not automatically obtain ownership. A fee simple holder has uninterrupted ownership of a property without conditions or limitations, and a joint tenant has shared ownership with rights of survivorship, which does not apply after a life tenant's interest ceases. Therefore, the rema