Which term refers to the highest interest in property held by an individual?

The term that refers to the highest interest in property held by an individual is known as legal title. Legal title signifies full ownership rights over the property, which includes the entitlement to use, transfer, or sell the property. When someone holds legal title, they have the ultimate claim to ownership, as opposed to other interests that may exist in conjunction with or below this level of ownership, such as equitable interests or leasehold interests held by tenants.

In contrast, other terms like equity relate to the value or financial interest someone may have in the property beyond just the legal ownership rights. Possession indicates physical control or occupancy of the property but does not automatically imply ownership. A leasehold signifies a temporary and limited interest in property granted to a tenant, meaning they do not have the highest interest in the property since ownership resides with the landlord.