Option to Purchase Legal Form

In the case of a pure call option contract, the call option is available for a certain period of time at the agreed price. When this type of contract is used in a housing contract, it is often considered a lease or lease option in relation to real estate. The tenant will enter into the rental or rental agreement with the option to purchase the rent in the future part of the contract. Although the option to buy contracts is most often used in real estate, they can also be used for the option to buy other things. When a contract is concluded, it becomes binding – the seller must sell and the buyer must buy on the agreed terms and price. If a purchase option agreement has been concluded, the property cannot be sold to someone else. NOW, FOR and taking into account the obligations and obligations contained herein and other good and valuable considerations, the receipt and sufficiency of which are hereby acknowledged, the Seller / Owner hereby grants the Buyer / Renter an exclusive option to purchase the aforementioned “Property”. The parties agree as follows: There are three main types of call options, from simple straight options to more complicated rollover options. Each has its own different requirements and responsibilities for buyers and sellers.

Not sure which type is best for you? Let us help you in drafting the contract. The three types of options are as follows. 6. CONCLUSION AND INVOICING. The seller/owner must determine the securities company to which settlement is to be made and must inform the buyer/tenant of that location in writing. The buyer/renter agrees that the closing costs in full, including all points, fees and other fees charged by the third party lender, are the sole responsibility of the buyer/tenant. The only expense associated with closing costs allocated to the seller/landlord is the proportionate portion of the value taxes due at the time of closing, for which the seller/landlord is solely responsible. SELLING COSTS: In the event that the buyer exercises his option to purchase the property in question, the seller agrees to bear all costs and expenses of the sale, including attorneys` fees, admission fees and other costs attributable to the preparation of the deed of guarantee, certificate of ownership and other closing documents. The option to purchase contracts is often used by builders and developers who want to build large subdivisions or luxury homes. The builder can choose this option in order to test the land and ensure that the zoning is done correctly. If the builder did not have an option to buy, they may have to invest a lot of time and money to inspect the property without the guarantee that they will be able to buy it if it is deemed appropriate.

1. DURATION OF THE OPTION. The call option begins on _____ OPTION MONEY: Upon executing this option, the buyer paid the seller the amount of $ as the “option amount”. In the event that the buyer exercises the option to purchase this property during the initial option period or an extension thereof and is not in default with other terms of this agreement, this option money will be applied to the purchase price at closing. By using this website, you consent to security monitoring and auditing. For security reasons and to ensure that the public service remains accessible to users, this government computer system uses network traffic monitoring programs to identify unauthorized attempts, upload or modify information, or otherwise cause damage, including attempts to deny service to users. GRANT OF OPTION: Seller hereby grants Buyer the exclusive and irrevocable option to acquire all of Seller`s property in the County on the terms set forth below, including, but not limited to, the following property described and any improvements thereto: Unauthorized attempts to upload information and/or change information on any part of this website; are strictly prohibited and liable to criminal prosecution under the Computer Fraud and Abuse Act of 1986 and the National Information Infrastructure Protection Act of 1996 (see Title 18 U.S.C. §§ 1001 and 1030). To ensure that your purchase option is considered a valid and binding contract, there are several things that must be included and procedures that must be followed. Your option to purchase should: An option agreement gives a buyer the exclusive right to purchase a property within a certain period of time and at a fixed or sometimes variable price. This, in turn, prevents sellers from making offers or selling to other parties within this time frame. During the specified option period, the seller is prohibited from working with other potential buyers.

If you need help drafting, reviewing and contesting purchase agreements or pre-emption clauses, contact the real estate attorneys at Goosmann Rose Colvard & Cramer, P.A. Our team knows all aspects of buying and selling real estate, including both types of contracts. Get help from reputable Asheville lawyers – get a free consultation today. The decision to buy or sell a home is monumental – one that comes with a variety of complicated steps and procedures.