What is one primary purpose of a lease in real estate?

The primary purpose of a lease in real estate is to grant an interest in land for a definite period. A lease establishes a contractual arrangement between the landlord (lessor) and the tenant (lessee), allowing the tenant to occupy and use the property for a specified duration while the ownership remains with the landlord. This arrangement is essential for providing tenants security in knowing they have the right to occupy the premises for a set term, while landlords maintain control and ownership of the property.

This temporary interest in the property allows tenants to use and benefit from the space without the responsibilities or costs associated with full ownership. It delineates the rights and obligations of both parties, such as rent payment, maintenance responsibilities, and conditions for lease termination, making it a critical component of real estate transactions.