I had to spend extra time to get this through my head. Please correct my thoughts to make sure I am learning this correctly. Also if available do you by chances have worksheets with scenarios in regards to this topic with the answers, so i may quiz myself?
HOLDER OF A LIFE ESTATE
GRANTOR gives his life estate/Property to HOLDER So long as HOLDER is ALIVE.
GRANTOR gives Property to HOLDER but then HOLDER DIES, then the property moves/transfers over to the REMAINDERPERSON/MAN and now the REMAINDERPERSON/MAN typically owns the property Fee Simple.
HOLDER OF RIGHTS OF REVERSION
GRANTOR gives Property to HOLDER but then HOLDER DIES, then the property moves/transfers over to the REMAINDERPERSON/MAN (BUT IN THIS CASE THE GRANTOR IS THE REMAINDERMAN).
HOLDER OF A LIFE ESTATE PUR AUTRE VIE
GRANTOR gives his life estate/Property to HOLDER and HOLDER decides to sell it to SOMEONE ELSE, so long as HOLDER is ALIVE, SOMEONE ELSE can live in the property, enjoy it, based on as long as HOLDER is ALIVE.
I do have a question on the Pur Autre’ Vie. Why would anybody purchase a property that is not really theirs? because it’s base on another’s life being alive. This is also causing confusing to me.
Another excellent question. Honestly, it does not happen very often. When it does, the purchaser likely does not pay full price. Common situations may be a person has a farm as a life estate, and doesn’t want to farm it anymore. He could sell his life estate farm to the neighbor for him to farm while the holder lives. Also, your definitions and explanations look good. My only comment would be with Rights of reversion, the grantor is technically not called a remainderman. They are still the grantor with the right of reversion. Good luck with your studies, you’re doing great!
Got it. I’m so happy I was able to see the light on this. In watching the video i guess it kinda of confused me, because he had written Remainderman and my mind must of zoned out as to what he was saying. Thank you again.