In a typical life estate created by grantor, the future interest goes to which party?

• A. Grantor
• B. Remainderman
• C. Life tenant
• D. Heir

Answer: (B)

A life estate involves a present possessory interest for the life of the occupant, with ownership to pass to someone else after that life ends. The future interest in a typical life estate created by grantor is held by a remainderman—the person named to receive the property once the life tenant dies. The grantor may retain a reversion only if no remainderman is named, but in the usual setup the named third party holds the future interest.

The life tenant cannot have the future interest because their rights end at death; they hold only the right to use and occupy during life. Heirs don’t automatically receive the property unless the grantor’s instrument specifically provides that outcome or there is intestate succession after there’s no remainder. So the future interest after the life estate ends is designated to the remainderman.