Question

When real estate under an estate for years is sold what happens to the lease?

A) It continues with the new owner
B) The lease is terminated
C) The lease is extended automatically
D) The lease becomes void.

Answer 1

Upon the sale of real estate under an estate for years, the lease continues with the new owner and is not terminated or voided. The new owner assumes the landlord's responsibilities under the existing lease.

Step-by-step explanation:

When real estate under an estate for years is sold, the lease continues with the new owner. This means that the sale of the property does not affect the tenant's rights or the lease agreement. The new owner steps into the shoes of the previous owner and assumes the rights and responsibilities as the landlord under the existing lease terms. Termination of the lease can only occur according to the leasing terms, such as at the expiration of the leasing period or through a proper notice as required by law.