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
South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own is a legal document that outlines the terms and conditions of a lease agreement with the additional option for the tenant to purchase the rental property in the future. Here is a detailed description of this addendum: 1. Purpose: The South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own serves to provide a tenant with the opportunity to eventually buy the leased property, offering a unique arrangement that combines renting and homeownership. 2. Parties Involved: — Landlord: The property owner who agrees to lease the residential property to the tenant and grants the option to purchase in the future. — Tenant: The individual or party who will be residing in the rental property and has the right to exercise the option to purchase later. 3. Key Elements: — Lease Duration: The addendum should specify the length of the lease term, including the start and end dates. — Option Period: This section outlines the duration during which the tenant can exercise the option to purchase. Typically, it extends beyond the lease term to allow the tenant enough time to secure financing or make necessary preparations. — Purchase Price: The addendum should clearly state the agreed-upon purchase price for the property. It may also specify any increases or adjustments that may apply if the option is exercised after a certain period. — Option Fee or Consideration: This section denotes the non-refundable fee or consideration paid by the tenant to obtain the option. It is typically a small percentage of the purchase price. — Rent Credit: Some addendums may include a provision for rent credits, where a portion of the monthly rent paid by the tenant is credited towards the purchase price if they decide to exercise the option. — Maintenance and Repairs: The responsibilities for property maintenance and repairs should be outlined, clarifying whether these duties fall under the tenant or landlord. Types of South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own: 1. Standard Option to Purchase Addendum: This type of addendum outlines the basic terms and conditions of the lease with an option to purchase but does not include additional provisions like rent credits or specific repair obligations. 2. Rent Credit Option to Purchase Addendum: In this addendum, the landlord agrees to credit a portion of the monthly rent towards the purchase price if the tenant chooses to exercise the option. It encourages the tenant to eventually buy the property. 3. Maintenance and Repair Responsibility Option to Purchase Addendum: This type of addendum clearly specifies the responsibilities of both the tenant and landlord regarding property maintenance and repairs during the lease term and option period. In summary, the South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own provides tenants in South Bend the opportunity to potentially transition from renting to homeownership. It outlines crucial details such as the lease duration, option period, purchase price, option fee, rent credits, and maintenance responsibilities. Different types of this addendum include the standard option, rent credit option, and maintenance and repair responsibility option.South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own is a legal document that outlines the terms and conditions of a lease agreement with the additional option for the tenant to purchase the rental property in the future. Here is a detailed description of this addendum: 1. Purpose: The South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own serves to provide a tenant with the opportunity to eventually buy the leased property, offering a unique arrangement that combines renting and homeownership. 2. Parties Involved: — Landlord: The property owner who agrees to lease the residential property to the tenant and grants the option to purchase in the future. — Tenant: The individual or party who will be residing in the rental property and has the right to exercise the option to purchase later. 3. Key Elements: — Lease Duration: The addendum should specify the length of the lease term, including the start and end dates. — Option Period: This section outlines the duration during which the tenant can exercise the option to purchase. Typically, it extends beyond the lease term to allow the tenant enough time to secure financing or make necessary preparations. — Purchase Price: The addendum should clearly state the agreed-upon purchase price for the property. It may also specify any increases or adjustments that may apply if the option is exercised after a certain period. — Option Fee or Consideration: This section denotes the non-refundable fee or consideration paid by the tenant to obtain the option. It is typically a small percentage of the purchase price. — Rent Credit: Some addendums may include a provision for rent credits, where a portion of the monthly rent paid by the tenant is credited towards the purchase price if they decide to exercise the option. — Maintenance and Repairs: The responsibilities for property maintenance and repairs should be outlined, clarifying whether these duties fall under the tenant or landlord. Types of South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own: 1. Standard Option to Purchase Addendum: This type of addendum outlines the basic terms and conditions of the lease with an option to purchase but does not include additional provisions like rent credits or specific repair obligations. 2. Rent Credit Option to Purchase Addendum: In this addendum, the landlord agrees to credit a portion of the monthly rent towards the purchase price if the tenant chooses to exercise the option. It encourages the tenant to eventually buy the property. 3. Maintenance and Repair Responsibility Option to Purchase Addendum: This type of addendum clearly specifies the responsibilities of both the tenant and landlord regarding property maintenance and repairs during the lease term and option period. In summary, the South Bend Indiana Option to Purchase Addendum to Residential Lease — Lease or Rent to Own provides tenants in South Bend the opportunity to potentially transition from renting to homeownership. It outlines crucial details such as the lease duration, option period, purchase price, option fee, rent credits, and maintenance responsibilities. Different types of this addendum include the standard option, rent credit option, and maintenance and repair responsibility option.
