what is an option contract in real estate
Best answer
Unilateral contract
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What are the basics of a real estate option contract?
The basics of real estate option contracts. A real estate purchase option is a contract on a specific piece of real estate that allows the buyer the exclusive right to purchase the property. Once a buyer has an option to buy a property, the seller cannot sell the property to anyone else.
What is the difference between a contract and an option?
The option usually includes a predetermined purchase price and is valid for a specified term, such as six months to a year. However, the buyer does not have to buy the property, whereas the seller is obligated to sell to the buyer within the terms of the contract.
What is an option to buy a property?
Once a buyer has an option to buy a property, the seller cannot sell the property to anyone else. The buyer pays for the option to make this real estate purchase. The option usually includes a predetermined purchase price and is valid for a specified term such as six months to a year.
What is the difference between lease option and purchase option?
A real estate purchase option is a contract on a specific piece of real estate that allows the buyer the exclusive right to purchase the property. … A lease option allows the renter to purchase the property after a predetermined rental period, which the buyer pays to obtain.