In real estate, what does a holdover tenant situation refer to?

A holdover tenant situation refers specifically to a tenant who remains in the rental property after their lease has expired and without the landlord's consent. This is significant because it creates a legal complication for both the tenant and the landlord. The holdover tenant is typically not legally entitled to occupy the space beyond the end of the lease, which can lead to potential eviction proceedings if the landlord chooses to reclaim the property.

Understanding this situation is crucial for both tenants and landlords as it impacts the landlord's rights to reclaim possession of their property and the tenant's obligations, which can sometimes lead to unforeseen liabilities or additional rent due. It is important for both parties to have clear communication and understand the terms of the lease to avoid a holdover situation.