Property Ownership

In New Jersey, a 'fee simple determinable' estate automatically terminates if:

AThe owner fails to pay property taxes
BThe specified condition subsequent occurs, reverting ownership to the grantor automatically✓ Correct
CThe owner dies without a will
DThe property is sold to a third party

Explanation

A fee simple determinable is limited by a condition expressed in the deed. If the condition is violated, the property automatically reverts to the grantor (or grantor's heirs) without any legal action. Example: 'to the school so long as used for educational purposes.'

Related New Jersey Property Ownership Questions

Practice More New Jersey Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free New Jersey Quiz →