When a leasehold is established, what is typically not transferable to another party?

When a leasehold is established, the lease itself generally creates a personal property interest that is tied to the rights of the lessee (the tenant) and the lessor (the landlord). A land contract vendee, who is essentially a buyer under a land contract, does not automatically acquire the rights associated with a leasehold interest.

In the context of leasing, the land contract vendee is not typically in the position to assume the lease unless the lease specifically allows for such an assignment or transfer. This limitation is often due to the nature of lease agreements, which may contain provisions restricting assignment or subletting, requiring landlord approval for any transfer of interest.

In contrast, mortgage holders, real estate agents, and property appraisers have roles that can involve interests in the property but do not directly concern the transferability of leasehold interests. Mortgage holders usually hold a lien against the property, while real estate agents facilitate transactions, and property appraisers assess value; these roles do not pertain to the rights inherent in a leasehold.

Thus, recognizing that a leasehold interest does not carry with it the ability for a land contract vendee to transfer their interest nurtures an understanding of the specificity of tenant rights within lease agreements.