Which statement accurately describes a license as used in real estate rights?

Which statement accurately describes a license as used in real estate rights?

• A. A license is a temporary permission to use land that terminates at the owner's death
• B. A license transfers ownership
• C. A license creates an encumbrance on title
• D. A license runs with the land after transfer of ownership

Answer: (A)

The main idea is that a license in real estate is a personal, revocable permission to use someone else’s land. It does not transfer ownership, it does not create an encumbrance on the title, and it does not run with the land after transfer. Because licenses are tied to the individual granting permission and can be revoked, they typically end, and often terminate at the owner’s death. That’s why describing it as a temporary permission to use land that terminates at the owner's death best fits this concept. If a license were to transfer ownership, encumber the title, or run with the land, you’d be dealing with a different type of interest, like a deed or an easement.

The main idea is that a license in real estate is a personal, revocable permission to use someone else’s land. It does not transfer ownership, it does not create an encumbrance on the title, and it does not run with the land after transfer. Because licenses are tied to the individual granting permission and can be revoked, they typically end, and often terminate at the owner’s death. That’s why describing it as a temporary permission to use land that terminates at the owner's death best fits this concept. If a license were to transfer ownership, encumber the title, or run with the land, you’d be dealing with a different type of interest, like a deed or an easement.