This Option to Purchase Addendum to Residential and Lease Agreement is entered into by and between the lessor and the lessee. The lessor agrees not to offer the residence for sale to anyone during the term of the lease, and to give the lessee (tenant) the option to purchase the residence at any time prior to the expiration of the lease, provided the lessee gives notice of intent to purchase in accordance with the provisions of the Addendum. At that point, a separate contract of sale will be executed and the sale will proceed as any sale would.
Please note: This Addendum form is NOT a lease agreement. You will need a separate Residential Lease Agreement. The Addendum would be attached to that Agreement
The Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own is an essential legal document designed to provide both tenants and landlords an opportunity to enter into an agreement that allows the tenants to purchase the property they are currently leasing. This addendum serves as an extension to the lease agreement, outlining the terms and conditions for the Rent to Own option. By incorporating this addendum, tenants can enjoy the benefits of renting a home while having the flexibility to transition into homeownership if they choose to exercise their right to purchase the property in the future. The Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own typically includes the following key provisions: 1. Option Fee: This section outlines the amount of money paid by the tenant to the landlord as a non-refundable fee for the exclusive right to purchase the property during the lease term. The fee is often credited towards the purchase price if the tenant decides to exercise the option. 2. Purchase Price: The addendum specifies the agreed-upon purchase price of the property, which remains fixed throughout the lease term. This clause ensures that the tenant knows the price they will pay if they choose to buy the property in the future. 3. Option Period: The addendum defines the length of the option period, which is the timeframe during which the tenant can exercise their right to purchase the property. It typically ranges from six months to a few years, providing the tenant ample time to arrange financing or assess their ability to buy the property. 4. Maintenance and Repairs: This section clarifies the responsibilities of both the tenant and the landlord regarding property maintenance and repairs during the lease term. It outlines who will be responsible for routine maintenance and any major repairs required during the option period. 5. Rent Credits: The addendum may include a provision for rent credits, whereby a portion of the rent paid by the tenant is credited towards the purchase price if the tenant decides to exercise their option to buy. This credit encourages tenants to save towards the down payment during the lease term. Types of Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own may include: 1. Fixed Purchase Price Addendum: This addendum sets a specific purchase price for the property, which remains constant throughout the option period. 2. Escalating Purchase Price Addendum: In this type of addendum, the purchase price increases gradually over the option period. This may be beneficial for tenants who anticipate an increase in their income or expect the property value to rise. 3. Adjustable Terms Addendum: This addendum allows for negotiation and adjustment of terms, such as the purchase price or option period length, based on certain agreed-upon criteria, like changes in market conditions. In conclusion, the Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own offers tenants the unique opportunity to turn their lease into a path to homeownership. With different types of addendums available, tenants and landlords can tailor the agreement to meet their specific requirements and ensure a seamless transition from renting to owning a property in Sunnyvale, California.The Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own is an essential legal document designed to provide both tenants and landlords an opportunity to enter into an agreement that allows the tenants to purchase the property they are currently leasing. This addendum serves as an extension to the lease agreement, outlining the terms and conditions for the Rent to Own option. By incorporating this addendum, tenants can enjoy the benefits of renting a home while having the flexibility to transition into homeownership if they choose to exercise their right to purchase the property in the future. The Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own typically includes the following key provisions: 1. Option Fee: This section outlines the amount of money paid by the tenant to the landlord as a non-refundable fee for the exclusive right to purchase the property during the lease term. The fee is often credited towards the purchase price if the tenant decides to exercise the option. 2. Purchase Price: The addendum specifies the agreed-upon purchase price of the property, which remains fixed throughout the lease term. This clause ensures that the tenant knows the price they will pay if they choose to buy the property in the future. 3. Option Period: The addendum defines the length of the option period, which is the timeframe during which the tenant can exercise their right to purchase the property. It typically ranges from six months to a few years, providing the tenant ample time to arrange financing or assess their ability to buy the property. 4. Maintenance and Repairs: This section clarifies the responsibilities of both the tenant and the landlord regarding property maintenance and repairs during the lease term. It outlines who will be responsible for routine maintenance and any major repairs required during the option period. 5. Rent Credits: The addendum may include a provision for rent credits, whereby a portion of the rent paid by the tenant is credited towards the purchase price if the tenant decides to exercise their option to buy. This credit encourages tenants to save towards the down payment during the lease term. Types of Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own may include: 1. Fixed Purchase Price Addendum: This addendum sets a specific purchase price for the property, which remains constant throughout the option period. 2. Escalating Purchase Price Addendum: In this type of addendum, the purchase price increases gradually over the option period. This may be beneficial for tenants who anticipate an increase in their income or expect the property value to rise. 3. Adjustable Terms Addendum: This addendum allows for negotiation and adjustment of terms, such as the purchase price or option period length, based on certain agreed-upon criteria, like changes in market conditions. In conclusion, the Sunnyvale California Option to Purchase Addendum to Residential Lease — Lease or Rent to Own offers tenants the unique opportunity to turn their lease into a path to homeownership. With different types of addendums available, tenants and landlords can tailor the agreement to meet their specific requirements and ensure a seamless transition from renting to owning a property in Sunnyvale, California.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
