If a Fee Simple Absolute is owning the property in full, a Leasehold is about the furthest thing from that concept. A Leasehold is the right to occupy property for a set period of time, depending on how the agreement is structured. Depending on the duration, this can be anything from the lessee’s life, known as a Life Estate, to a month. When leases are for set periods of time, they are named after the duration. For example, a student renting an apartment may get a lease that runs for a year, thus obtaining a tenancy for years. Keep in mind, a lease could be renewed, so a tenancy for months could last longer than a tenancy for years. However, the broad idea behind a tenancy is one person owns the property and other people pay for the right to use the property.
This is the point where warnings need to come to play. These concepts are simple because they are common. By living in a society where these ideas are common, there is a base level of understanding of what these two concepts mean and how they work. However, a Fee Simple can be lost. A tenancy for months can turn into something for longer. It all depends on how the parties act and other aspects of law. For example, if a person owns a property in Fee Simple and then never moves in, but another person does, that other person may be able to earn title to the property for themselves. Another example, if a tenancy is for months, but then the tenant does not leave and is not evicted, the lease can change its character.
In other words, each situation will be different. There will be similarities of course, the law and legal concepts have been around for a relatively long time. However, the facts of a specific case will require legal analysis and a local lawyer may be necessary.