What type of interest remains after a life estate has been created?

After a life estate has been created, the remainder interest remains as a future interest in the property. A life estate is an ownership interest that lasts for the duration of an individual's life, after which ownership automatically transfers to a designated party, known as the remainderman. This future interest allows the remainderman to receive full ownership of the property once the life estate ends, which occurs upon the death of the life tenant.

In contrast, a life estate interest terminates when the individual whose life it is based on passes away. Leasehold interests are temporary rights to occupy or use a property, typically established through a rental agreement, and do not pertain to the ownership structure involved in a life estate. Fee simple interest represents the most complete form of ownership in real property, which is not the case in a life estate scenario where full ownership is divided between the life tenant and the remainderman. Therefore, the correct answer reflects the appropriate legal concept related to the rights connected to a life estate.