Option to Purchase Real Estate -General

• Category: Contracts - Option
• State: Multi-State
• Control #: US-C-O-60945-2
• Format: Word; Rich Text

Description

This is a sample Option to Purchase Real Estate. In the context of real estate, an option is a contract to purchase the right for a certain time, by election, to purchase property at a stated price. An option may be a right to purchase property or require another to perform upon agreed-upon terms. By purchasing an option, a person is paying for the opportunity to elect or "exercise" the right for the property to be purchased or the performance of the other party to be required. The form may be customized to suit your needs.

An Option to Purchase Real Estate — General is a legal agreement between two parties, the option or (seller) and the optioned (buyer), that gives the optioned the right to purchase the property specified in the agreement at a predetermined price within a specified period of time. The optioned pays a fee (option fee) to the option or for the right to purchase the property, but is not legally obligated to exercise the option. If the optioned decides to purchase the property, they must do so within the specified time frame, or the option will expire. Types of Option to Purchase Real Estate — General include a Call Option, which gives the optioned the right to purchase the property; a Put Option, which gives the optioned the right to sell the property; and a Lease Option, which gives the optioned the right to lease the property for a specified period of time and then purchase it at a predetermined price.