What type of ownership allows multiple individuals to hold an undivided interest in a property?

The correct choice is tenancy in common. This form of ownership permits two or more individuals to hold an undivided interest in a property, meaning that each owner has a right to possession of the entire property rather than specifying particular parts of it. Each tenant in common has the freedom to sell, transfer, or will their share of the property independently, without the consent of the other co-owners.

In contrast, joint tenancy includes the right of survivorship, where ownership automatically transfers to the surviving joint tenant(s) upon the death of one owner, which is not the case in tenancy in common. A life estate grants ownership that lasts for the duration of a person's life but does not facilitate undivided interests among multiple owners. A leasehold, on the other hand, is a temporary interest in property typically created through a lease agreement, and does not represent co-ownership of the property itself. Therefore, tenancy in common is the best fit for the question regarding multiple individuals holding an undivided interest in a property.