A leasehold interest is classified as what type of property?

A leasehold interest is classified as personal property because it represents the tenant's right to use and occupy a property for a specified period, rather than ownership of the property itself. This interest is not tied to the physical land or structures, which are classified as real property; rather, it embodies a contractual right that can be bought, sold, or transferred, much like other forms of personal property.

Leasehold interests typically arise from a lease agreement, which grants the tenant a partial interest in the property for a limited time. Since the estate created does not include ownership of the physical land, but rather the right to occupy and use it, it falls under the category of personal property.

In considering the other classifications, tangible property refers to physical assets you can touch (like buildings), while intangible property would encompass assets that do not exist in physical form (such as a trademark), but leasehold interests are distinctly personal property as they derive from leasing agreements that grant use rights.