Fee simple is an ownership interest in real property that is the most full, unlimited, and absolute property interest recognized by law. This ownership interest of title in fee simple is also referred to as fee simple absolute; estate in fee simple; fee simple title; or simply fee, and the term is usually used to indicate the real property ownership interest a seller is transferring to a buyer.

The rights of a fee simple property owner are limited by the government’s power to tax the land (property taxes) and to purchase the land through the compulsory process mandated by state law—often as provided in the state’s constitution or in the state’s statutes—which is known as eminent domain.

In limited circumstances fee simple ownership may also be subject to the state’s police powers, the law of escheat (when the property owner dies without a will and without heirs), and encumbrances or deed restrictions on the use of the land.

In Michigan, fee simple ownership represents the most comprehensive type of real estate ownership. The holder of a fee simple title has the greatest extent of rights available under the law, including the right to use, lease, sell, or bequeath the property. However, these rights are subject to certain limitations imposed by the government. Property taxes are a standard limitation, as the government retains the authority to tax real property. Additionally, the government may exercise its power of eminent domain to compel the sale of private property for public use, in accordance with Michigan's constitution and statutes. Fee simple ownership may also be restricted by the state's police powers, which allow for regulation in the interest of public health, safety, and welfare. Furthermore, if a property owner passes away intestate (without a will) and without heirs, the property may escheat, or revert, to the state. Lastly, the use of fee simple property can be limited by encumbrances or deed restrictions, which are conditions placed on the property that dictate certain uses or prohibit others.