A lease of real property for a fixed period of time at a set rate of rent creates what type of estate?

A lease of real property for a fixed period of time at a set rate of rent is known as an estate for years. This type of arrangement is characterized by having a definitive start and end date, establishing a specific duration for the tenancy. The payment of rent is predetermined and remains consistent throughout the lease term, which further emphasizes the stability and clarity of this type of estate.

In contrast, periodic tenancies typically have no specified end date and renew automatically at the end of each rental period unless notice is given. Tenancies at will offer even greater flexibility, allowing either party to terminate the lease without notice, thus lacking the fixed duration found in an estate for years. A license, on the other hand, is not a lease but rather a permission to use another's property, which does not create any interest or estate in the property itself. Therefore, the characteristics of an estate for years make it distinct in terms of having a set, finite lease period and established rent, confirming why this is the correct choice in the context of the question.