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 Boston Massachusetts Option to Purchase Addendum to Residential Lease — Lease or Rent to Own is a legal document that supplements a standard residential lease agreement. It provides tenants with the opportunity to purchase the rental property at a predetermined price within a specified time frame. This addendum is typically suitable for both landlords and tenants who want to explore the Rent-to-Own or Lease-to-Own arrangement. It allows tenants to reside in the property as tenants initially, with an option to buy the property in the future. The main purpose of this addendum is to outline the terms and conditions of the rent-to-own agreement. It specifies the purchase price, the length of the option period, and the terms of payment if the tenant chooses to exercise the option. This addendum also covers other crucial aspects, such as the allocation of maintenance responsibilities and how any rent credits or option fees are applied to the purchase price. It is important to note that there may be different types of Boston Massachusetts Option to Purchase Addendum to Residential Lease — Lease or Rent to Own, depending on the specific agreement between the landlord and tenant. However, the common elements typically include: 1. Purchase Price: This clause will state the agreed-upon purchase price for the property should the tenant decide to exercise the option to purchase. 2. Option Fee: This clause may require the tenant to pay an option fee, which is a non-refundable amount that grants them the right to purchase the property within the specified timeframe. 3. Option Period: This clause defines the length of time during which the tenant has the exclusive right to exercise the option to purchase the property. This period is typically agreed upon by both parties and can range from several months to a few years. 4. Rent Credits: This clause outlines whether a portion of the monthly rent will be credited towards the purchase price if the tenant chooses to buy the property. It specifies the amount or percentage of rent credited and how it will be applied. 5. Maintenance and Repairs: This clause will determine the responsibilities of both the landlord and the tenant regarding maintenance and repairs during the option period. It will outline which party is responsible for what types of repairs or maintenance issues. 6. Default and Termination: This clause will detail the consequences and procedures in case either party defaults on their obligations or decides to terminate the lease or option agreement before the expiration of the option period. These are just a few elements that may be included in the Boston Massachusetts Option to Purchase Addendum to Residential Lease — Lease or Rent to Own. The exact terms and conditions will vary depending on the agreement reached between the landlord and the tenant. It is essential for both parties to carefully review and understand the addendum before signing to ensure a mutual understanding and protect their rights and obligations.
