possibility of a reverter

A possibility of a reverter is a future interest in property created and retained by the grantor of a fee simple determinable ( See also fee simple ). When granting a fee simple determinable, as opposed to a fee simple absolute , the grantor specifies a condition that will automatically return the property to their ownership if it occurs. While the condition is unmet, the grantor’s retained interest in the property is called a possibility of a reverter or simply a possibility of reverter .

A fee simple determinable and corresponding possibility of a reverter are created by grants that use durational language, such as “ until ” or “ as long as .”

For example, “O grants Blackacre to A as long as it is used as a museum.” O has granted A a fee simple determinable, and O has retained the possibility of a reverter. Should A stop using Blackacre as a museum, it will immediately and automatically revert to O’s ownership.

A possibility of a reverter is similar to, but distinct from, a right of entry or an executory interest . A right of entry does not return the property to the grantor automatically. Instead, the holder must act to establish ownership after the condition is met. Meanwhile, an executory interest operates identically to a possibility of a reverter but is bestowed upon a third party instead of retained by the original grantor. A possibility of a reverter should not be confused with a reversion .

[Last reviewed in June of 2025 by the Wex Definitions Team ]

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