What type of property interest does a beneficiary in a land trust hold?

In a land trust, the beneficiary holds an interest that is classified as personal property. This is because the beneficiary's rights do not directly pertain to the physical land itself but rather to the financial benefits that can be derived from the property. The actual title and ownership of the real property are held in the name of the trustee, which creates a legal separation between the ownership of the land and the benefits that the beneficiary receives.

Land trusts are often utilized for privacy and estate planning purposes. By holding the property in trust, the beneficiary can enjoy the use and benefits of the property—such as income from rentals or potential resale proceeds—without being publicly identified as the owner. Thus, the nature of this arrangement distinctly categorizes the beneficiary's interest as personal property, highlighting the unique characteristics of how land trusts function compared to traditional property ownership structures.

In contrast, the other types of interests mentioned do not accurately reflect the situation in a land trust. Real property would imply direct ownership, joint tenancy involves shared ownership with rights of survivorship, and leasehold interest refers to a tenant's rights in a leased agreement, all of which do not apply to the beneficiary’s position in a land trust.