Property Ownership

What is the primary difference between fee simple and leasehold ownership in Hawaii?

AA. Fee simple requires annual property taxes; leasehold does not
BB. Fee simple grants outright ownership of land and improvements; leasehold grants only a time-limited right to use the land✓ Correct
CC. Leasehold property cannot be sold or transferred
DD. Fee simple is only available to Hawaii residents

Explanation

In fee simple ownership, you own both the land and the improvements outright. In leasehold, you own the improvements but lease the underlying land from the landowner.

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