South Carolina Real Estate Practice Exam

In real estate, a "remainder" refers to a future interest that becomes possessory upon the termination of a prior interest. This means that ownership of the property is set to transition to another party upon the occurrence of a specified event, such as the death of the current owner or the fulfillment of certain conditions. This legal concept is crucial in estate planning and property transfers, as it outlines a clear line of succession for property rights.

The implications of remainder interests are significant in terms of estate distribution and inheritance, ensuring that the rightful owner has clear legal entitlement to the property under defined circumstances. Therefore, understanding the concept of remainder is essential for grasping how property rights can be structured over time.