What is meant by 'bundle of rights' in property ownership?

The concept of the "bundle of rights" refers to the various rights that come with property ownership. This term encapsulates the idea that ownership of property encompasses multiple entitlements rather than a singular right.

When a person owns property, they typically have a set of rights including the right to use the property, the right to sell it, the right to rent it out, the right to enter and occupy it, and the right to exclude others from it. These rights can be individually transferred, leased, or enjoyed, and can vary depending on local laws and regulations.

Understanding that property ownership involves this comprehensive "bundle" helps clarify the complexities involved in real estate transactions, zoning laws, and property management. It emphasizes that ownership is not limited to mere possession of land or a building but includes a range of legal privileges and responsibilities inherent to that property.